The Hang Seng Index plunged 307 points, or 1.3%, to close at 23,034 on Tuesday (25/2), marking its second straight decline. The selloff came as the Trump administration pushed for tighter U.S. chip restrictions and urged key allies to tighten curbs on China's semiconductor industry.
The decline also followed a sharp drop in U.S.-listed Chinese stocks overnight, with the Nasdaq Golden Dragon China Index plunging 5.2%, its worst one-day loss since October, amid profit-taking after strong earnings and AI-driven optimism. Investors are cautious ahead of China's official February PMI data due later this week, with expectations for a subdued reading after the Lunar New Year holiday.
The market pulled back from its highest level in more than three years, with tech stocks suffering sharp losses including Alibaba Holdings (-3.6%) and Baidu (-3.9%). Other major market cap laggards included Trip.com (-11.8%), UBTech Robotics (-6.1%), SenseTime Group (-5.7%), and Alibaba Health Information (-5.4%).
Source: Trading Economics
