Shares of U.S.-listed Chinese tech companies traded lower in Hong Kong on Monday, dragging the benchmark Hang Seng Index into negative territory for a third straight day as the Russia-Ukraine crisis showed no signs of abating.
The Macro Factors:The Hang Seng Index was down 1.4% at the time of writing, as investors assessed the impact of the harsher sanctions imposed by Western nations on Russia over its invasion of Ukraine.
The tougher sanctions also stoked inflation concerns, as higher prices for crude oil and other commodities could derail the economic recovery.
The U.S., the United Kingdom and other Western nationsannouncedSaturday evening that they would expel certain Russian banks from SWIFT, the high-security network that connects thousands of financial institutions around the world.
Meanwhile, China’s stimulus has failed to boost the construction sector, with sales of equipment having slumped and unused commodities piling up in storage, as per a report by Bloomberg.
Companies In The News: Tesla Inc. rival Nio Inc. said its shares are expected to begin trading in Hong Kong on March 10 after the electric vehicle maker secured a key approval for a secondary listing in the financial hub following months of delays.
Nio’s local rivals Xpeng and Li Auto had completed their dual-listing in Hong Kong last year.
Baidu— the largest Internet search engine in China — is expected to report its financial results for the fourth quarter on Tuesday, March 1.
Shares of Chinese companies closed mixed in U.S. trading on Friday even as the major averages extended gains from the previous session.
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