As a result of the currency crisis, the Hang Seng Index drops even lower to its lowest point since October 2011.
Demand for riskier assets is declining globally as a result of aggressive rate increases and a gloomier economic outlook for China.
As Chinese technology companies drove the benchmark index to its lowest level in more than a decade, Hong Kong stocks fell. After a string of interest rate hikes fueled concerns about a coming recession, losses widened as investors avoided riskier assets amid a decline in local currencies.
At the closing, the Hang Seng Index lost 3.4% to 17,250.88, its lowest level since October 2011, as 71 of the 73 index constituents experienced losses. As wagers on market intervention decreased, the Tech Index fell by 3.9% and the Shanghai Composite Index fell by 1.6%.
Tencent fell 2.4 percent to HK$274, JD.com down 5.6 percent to HK$201, while Alibaba Group Holding fell 4.1 percent to HK$74.70. As the British pound fell, HSBC fell 5.8% to HK$40. Property developer Country Garden saw a 13% decline to HK$1.89 and a 12% decline in its property management unit, Country Garden Services, to HK$12.52. Major Asian markets also fell. The Nikkei 225 in Japan, the Kospi in South Korea, and the S&P/ASX 200 in Australia all had declines of at least 1%.
