The Hang Seng plunged 3,021 points or 13.2% on Monday, marking its steepest one-day loss since 2008, to end below the 20,000 mark at 19,828. It was the second session of heavy selling, dragging the index to an over two-month low as most sectors, particularly tech, consumer, and financials, posted double-digit losses.

The plunge followed escalating trade tensions, with the White House standing firm on tariff plans and China announcing retaliatory levies on U.S. goods. President Trump said markets would have to "take their medicine," saying no deal would be made until the U.S. trade gap was resolved.

U.S. futures also sank on renewed recession fears. Losses were capped after Bloomberg News said China may cut borrowing costs and RRR, with policymakers also seeking to speed up stimulus measures to boost consumption.

Major decliners included Pop Mart (-22.9%), Prada Spa (-14.7%), CK Hutchison (-8.9%), Xiaomi (-21.1%), Semicon Manufacturing (-17.7%), Meituan (-15.4%), and Tencent (-13.3%).

Source: Trading Economics