The Hang Seng dipped 270 points or 1.1% to close at 23,711 on Wednesday, falling for the second straight session as hopes for a swift resolution to the Israel-Iran conflict faded. Sentiment was further weighed by U.S. President Trump’s warning to Iran, demanding unconditional surrender. Investors remained cautious ahead of the Fed’s interest rate decision later today. While no rate change is expected for the fourth straight meeting, market focus will be on the central bank’s “dot plot” to gauge whether policymakers still project two rate cuts this year.
Meanwhile, an annual financial forum in China offered few new policy signals. All sectors retreated, with property, tech, and consumer stocks leading losses. EV maker Li Auto sank 4.1% after a key shareholder cut its stake, dragging peers Nio (-2.4%), BYD (-1.3%), and Geely (-1.1%). Perfect Medical Health plunged 19% to a 5-year low after forecasting lower FY25 profit. In contrast, Yadea Group rose 2.6% on a strong earnings forecast.
