Market Update
China and Hong Kong Indexes Turned Lower Amid GDP Growth Slowdown Fears
Li Chen
20 Jan, 2026
Hong Kong
China's stocks faced headwinds for the second consecutive session this week, and investors debated the macroeconomic outlook for this year.
The Hang Seng Index decreased 0.3%, and the CSI 300 Index fell 0.2% amid receding hopes of additional policy support.
China's economic growth in the fourth quarter decelerated to 4.5%, and lingering property market woes dampened the outlook for the current year.
Moreover, weakening growth in retail sales and elevated jobless rates among young workers kept market sentiment in check.
The People's Bank of China kept its Loan Prime Rates unchanged for the eighth month in a row in January.
The central bank held the one-year rate at 3.0% and the five-year rate at 3.5%, following a 25-basis-point reduction for sector-specific loans effective January 19.
Rising geopolitical tensions contributed to market jitters in Asia, and gold hovered near its record high as the Greenland-sparked tariff war escalated between the U.S., the European Union, and the U.K.
China Indexes and Stocks
The Hang Seng Index decreased 0.3% to 26,524.03, and the mainland-focused CSI 300 Index dropped 0.2% to 4,717.97.
Baidu decreased 2% to HK $144.40, Alibaba Group declined 0.4% to HK $159.90, Tencent Holdings fell 1.5% to HK $601.0, and Meituan eased 0.7% to HK $97.85.
Pop Mart International advanced 8% to HK $196.30, Mixue Group added 3.5% to HK $444.60, and SMIC dropped 3% to HK $74.65.
China and Hong Kong Indexes Turned Lower Amid Weakening Earnings Growth Outlook
Li Chen
20 Jan, 2026
Hong Kong
China's stocks faced headwinds for the second consecutive session this week, and investors debated the macroeconomic outlook for this year.
The Hang Seng Index decreased 0.3%, and the CSI 300 Index fell 0.2% amid receding hopes of additional policy support.
China's economic growth in the fourth quarter decelerated to 4.5%, and lingering property market woes dampened the outlook for the current year.
Moreover, weakening growth in retail sales and elevated jobless rates among young workers kept market sentiment in check.
The People's Bank of China kept its Loan Prime Rates unchanged for the eighth month in a row in January.
The central bank held the one-year rate at 3.0% and the five-year rate at 3.5%, following a 25-basis-point reduction for sector-specific loans effective January 19.
Rising geopolitical tensions contributed to market jitters in Asia, and gold hovered near its record high as the Greenland-sparked tariff war escalated between the U.S., the European Union, and the U.K.
China Indexes and Stocks
The Hang Seng Index decreased 0.3% to 26,524.03, and the mainland-focused CSI 300 Index dropped 0.2% to 4,717.97.
Baidu decreased 2% to HK $144.40, Alibaba Group declined 0.4% to HK $159.90, Tencent Holdings fell 1.5% to HK $601.0, and Meituan eased 0.7% to HK $97.85.
Pop Mart International advanced 8% to HK $196.30, Mixue Group added 3.5% to HK $444.60, and SMIC dropped 3% to HK $74.65.
U.S. Stocks Under Pressure and Gold Soared After Trump Threatened Additional Tariffs on European Allies
Barry Adams
19 Jan, 2026
New York City
U.S. indexes traded down in early trading in off-market on Monday amid elevated tariff frictions and rising geopolitical tensions.
The S&P 500 Index decreased 0.8%, and the tech-heavy Nasdaq Composite decreased 1% after the U.S. president threatened additional tariffs on goods from eight European allies.
Trump threatened an additional 10% tariff on shipments from Denmark, Norway, Sweden, Finland, the Netherlands, the UK, France, and Germany.
The tariffs would kick in on February 1 and increase to 25% on June 1 if a deal is not reached to allow the U.S. to "purchase" Greenland.
European automakers and luxury goods stocks dropped between 3% and 5% following the worries of a renewed tariff war.
Broader European market indexes dropped between 0.5% and 1.5% in London, Paris, and Frankfurt.
Last week, Wall Street indexes turned lower amid heightened worries about the Fed's independence, the chaotic Trump administration, and constantly changing trade policy. China and India overcame U.S. tariff pressure amid shifting trade patterns.
The S&P 500 index and the Nasdaq Composite declined around 0.5% after a week of hectic trading, and investors weighed two inflation reports against earnings optimism.
On Monday, gold and silver hit fresh new highs in New York, London, and Shanghai amid rising geopolitical tensions after the U.S. president renewed his threats to "purchase" Greenland and slapped additional tariffs on European allies.
This week about 90 U.S. companies are set to release their quarterly results, including earnings updates from Netflix, GE Aerospace, Schlumberger, Intel, Proctor & Gamble, and Johnson & Johnson.
U.S. Stocks Under Pressure and Gold Soared After Trump Threatened Additional Tariffs on European Allies
Barry Adams
19 Jan, 2026
New York City
U.S. indexes traded down in early trading on Monday amid elevated tariff frictions and rising geopolitical tensions.
The S&P 500 Index decreased 0.8%, and the tech-heavy Nasdaq Composite decreased 1% after the U.S. president threatened additional tariffs on goods from eight European allies.
Trump threatened an additional 10% tariff on shipments from Denmark, Norway, Sweden, Finland, the Netherlands, the UK, France, and Germany.
The tariffs would kick in on February 1 and increase to 25% on June 1 if a deal is not reached to allow the U.S. to "purchase" Greenland.
European automakers and luxury goods stocks dropped between 3% and 5% following the worries of a renewed tariff war.
Broader European market indexes dropped between 0.5% and 1.5% in London, Paris, and Frankfurt.
Last week, Wall Street indexes turned lower amid heightened worries about the Fed's independence, the chaotic Trump administration, and constantly changing trade policy. China and India overcame U.S. tariff pressure amid shifting trade patterns.
The S&P 500 index and the Nasdaq Composite declined around 0.5% after a week of hectic trading, and investors weighed two inflation reports against earnings optimism.
On Monday, gold and silver hit fresh new highs in New York, London, and Shanghai amid rising geopolitical tensions after the U.S. president renewed his threats to "purchase" Greenland and slapped additional tariffs on European allies.
This week about 90 U.S. companies are set to release their quarterly results, including earnings updates from Netflix, GE Aerospace, Schlumberger, Intel, Proctor & Gamble, and Johnson & Johnson.
China's Quarterly Economic Growth Slipped and Property Investment Plunged
Li Chen
19 Jan, 2026
Hong Kong
Stocks faced headwinds in China and Hong Kong as investors reviewed a fresh batch of official economic releases.
The Hang Seng Index decreased 1%, and the mainland-focused CSI 300 index eased 0.2% amid slowing economic growth, persistent decline in home prices, and weakening retail sales.
China's GDP growth slowed to 4.5% in the December quarter from 4.8% in the second quarter, according to the latest data released by the National Bureau of Statistics on Monday.
The economy expanded at an annual growth rate of 5% in 2025, meeting the target set by the government, as the decline in exports to the U.S. was shrugged off by the rise in shipments to other markets.
In December, retail sales slowed to a growth of 0.9% from a 1.3% rise in the month earlier and advanced 3.7% on an annual pace.
Overall fixed investment decreased 3.8%, driven by a 17.2% plunge in property investment in 2025.
Home prices in the top 70 cities across China continued to decline at an elevated pace, according to a separate report released by the statistical agency on Monday.
Home price decline accelerated to an annual pace of 3.0% in December from 2.8% in the previous month.
On a monthly basis home prices fell 0.4% in December, and only six cities registered a gain compared to eight in November.
The downturn in the property market is likely to persist in 2026, and four top cities are likely to face additional headwinds.
Prices in Beijing, Shenzhen, and Guangzhou decreased between 0.4% and 0.6%, but rose 0.4% in Shanghai.
New home prices in tier-2 and tier-3 cities declined 0.4% amid population outflow driven by slower industrial development.
However, the downturn in existing home prices continued at an elevated pace, and prices fell 0.7% in December from the previous month and plunged 6.1% from a year ago.
China's birth rate declined for the fourth year in a row, and the population shrank in 2025, according to a separate report released by the statistical agency on Monday.
The number of newborn babies declined to 7.9 million in 2025 from 9.5 million in the previous year, and the number of deaths increased to 11.3 million.
China Indexes and Stocks
The Hang Seng Index decreased 1% to 26,579.0, and the mainland-focused CSI 300 index fell 0.2% to 4,721.07.
New World Development Company soared 19% to HK $11.37 after the parent company's chairman said he is open to "partnership" with investors, which could ease the debt burden of the company.
China's Quarterly Economic Growth Slipped and Property Investment Plunged
Li Chen
19 Jan, 2026
Hong Kong
Stocks faced headwinds in China and Hong Kong as investors reviewed a fresh batch of official economic releases.
The Hang Seng Index decreased 1%, and the mainland-focused CSI 300 index eased 0.2% amid slowing economic growth, persistent decline in home prices, and weakening retail sales.
China's GDP growth slowed to 4.5% in the December quarter from 4.8% in the second quarter, according to the latest data released by the National Bureau of Statistics on Monday.
The economy expanded at an annual growth rate of 5% in 2025, meeting the target set by the government, as the decline in exports to the U.S. was shrugged off by the rise in shipments to other markets.
In December, retail sales slowed to a growth of 0.9% from a 1.3% rise in the month earlier and advanced 3.7% on an annual pace.
Overall fixed investment decreased 3.8%, driven by a 17.2% plunge in property investment in 2025.
Home prices in the top 70 cities across China continued to decline at an elevated pace, according to a separate report released by the statistical agency on Monday.
Home price decline accelerated to an annual pace of 3.0% in December from 2.8% in the previous month.
On a monthly basis home prices fell 0.4% in December, and only six cities registered a gain compared to eight in November.
The downturn in the property market is likely to persist in 2026, and four top cities are likely to face additional headwinds.
Prices in Beijing, Shenzhen, and Guangzhou decreased between 0.4% and 0.6%, but rose 0.4% in Shanghai.
New home prices in tier-2 and tier-3 cities declined 0.4% amid population outflow driven by slower industrial development.
However, the downturn in existing home prices continued at an elevated pace, and prices fell 0.7% in December from the previous month and plunged 6.1% from a year ago.
China's birth rate declined for the fourth year in a row, and the population shrank in 2025, according to a separate report released by the statistical agency on Monday.
The number of newborn babies declined to 7.9 million in 2025 from 9.5 million in the previous year, and the number of deaths increased to 11.3 million.
China Indexes and Stocks
The Hang Seng Index decreased 1% to 26,579.0, and the mainland-focused CSI 300 index fell 0.2% to 4,721.07.
New World Development Company soared 19% to HK $11.37 after the parent company's chairman said he is open to "partnership" with investors, which could ease the debt burden of the company.
Wall Street Indexes Lose Steam Amid Rising Macroeconomic Uncertainties
Barry Adams
16 Jan, 2026
New York City
Stocks traded higher on Friday and extended the previous session's gains as investors grappled with a slew of headlines from Washington, ranging from Venezuela and Greenland to the Federal Reserve's independence.
The S&P 500 index and the Nasdaq Composite advanced 0.3% and built on the 0.2% rise in the previous session.
For the week, the S&P 500 index is down 0.3%, and the Nasdaq Composite fell 0.6% after a hectic week.
Financials traded higher after Goldman Sachs and Morgan Stanley reported better-than-expected quarterly results, helping peers to rebound from the losses earlier in the week.
Investors remained cautious after inflation reports supported the case for the Federal Reserve to hold rates at the end of the policy meeting later in the month.
Moreover, economists are estimating sharp downward revisions in the nonfarm payrolls increase in 2025, as the statistical agency reviews a wider batch of surveys.
The U.S. economy added 584,000 jobs in 2025, sharply lower than the 2 million increase in 2024, as businesses grapple with the Trump administration's constantly changing trade policy, persistent inflation, and macroeconomic uncertainty.
Despite the tighter immigration policy and deportations of 3 million foreign citizens, American workers are struggling to find jobs, and businesses are unable to fill as many as 300,000 jobs in the manufacturing sector.
U.S. Stock Movers
Goldman Sachs extended its two-day gain to 5% and traded at $980.0 after the financial services provider reported better-than-expected fourth-quarter results, driven by higher profits in equity trading and wealth management.
Total net revenues decreased 3% to $13.5 billion from $13.9 billion, net income increased to $4.6 billion from $4.1 billion, and diluted earnings per share increased to $14.01 from $11.95 a year ago.
Wall Street Indexes Lose Steam Amid Rising Macroeconomic Uncertainties
Barry Adams
16 Jan, 2026
New York City
Stocks traded higher on Friday and extended the previous session's gains as investors grappled with a slew of headlines from Washington, ranging from Venezuela and Greenland to the Federal Reserve's independence.
The S&P 500 index and the Nasdaq Composite advanced 0.3% and built on the 0.2% rise in the previous session.
For the week, the S&P 500 index is down 0.3%, and the Nasdaq Composite fell 0.6% after a hectic week.
Financials traded higher after Goldman Sachs and Morgan Stanley reported better-than-expected quarterly results, helping peers to rebound from the losses earlier in the week.
Investors remained cautious after inflation reports supported the case for the Federal Reserve to hold rates at the end of the policy meeting later in the month.
Moreover, economists are estimating sharp downward revisions in the nonfarm payrolls increase in 2025, as the statistical agency reviews a wider batch of surveys.
The U.S. economy added 584,000 jobs in 2025, sharply lower than the 2 million increase in 2024, as businesses grapple with the Trump administration's constantly changing trade policy, persistent inflation, and macroeconomic uncertainty.
Despite the tighter immigration policy and deportations of 3 million foreign citizens, American workers are struggling to find jobs, and businesses are unable to fill as many as 300,000 jobs in the manufacturing sector.
U.S. Stock Movers
Goldman Sachs extended its two-day gain to 5% and traded at $980.0 after the financial services provider reported better-than-expected fourth-quarter results, driven by higher profits in equity trading and wealth management.
Total net revenues decreased 3% to $13.5 billion from $13.9 billion, net income increased to $4.6 billion from $4.1 billion, and diluted earnings per share increased to $14.01 from $11.95 a year ago.
Japan's Indexes Meandered, Yen Level Raised Prospects of Intervention
Akira Ito
16 Jan, 2026
Tokyo
Japan's benchmark indexes extended losses for the second consecutive session, and investors debated the Bank of Japan's rate move next week.
The Nikkei 225 Stock Average and the broader Topix Index edged lower ahead of the BoJ's rate decision next Friday.
Investors anticipated the central bank to hold rates as policymakers weigh political uncertainties and a harsher export environment.
Prime Minister Sanae Takaichi is expected to announce plans on January 19 for the dissolution of the lower house of parliament, increasing political uncertainty and raising expectations for additional government spending.
The yield on 10-year Japanese government bonds edged up to 2.18%, and the yen traded at 158.27 against the U.S. dollar amid fears of a possible intervention by Japanese authorities.
Japan Indexes and Stocks
The Nikkei 225 Stock Average inched lower 0.06% to 54,102.48, and the broader Topix Index decreased 0.09% to 3,665.49.
Semiconductor equipment stocks rebounded after Taiwan Semiconductor reported a strong increase in sales, driven by the sustained demand for high-performance computing.
Softbank Group increased 0.07% to ¥4,054.0, Tokyo Electron decreased 0.4% to ¥42,430.0, and Advantest Corp. added 1.3% to ¥22,785.0.
Japan's Indexes Meandered, Yen Level Raised Prospects of Intervention
Akira Ito
16 Jan, 2026
Tokyo
Japan's benchmark indexes extended losses for the second consecutive session, and investors debated the Bank of Japan's rate move next week.
The Nikkei 225 Stock Average and the broader Topix Index edged lower ahead of the BoJ's rate decision next Friday.
Investors anticipated the central bank to hold rates as policymakers weigh political uncertainties and a harsher export environment.
Prime Minister Sanae Takaichi is expected to announce plans on January 19 for the dissolution of the lower house of parliament, increasing political uncertainty and raising expectations for additional government spending.
The yield on 10-year Japanese government bonds edged up to 2.18%, and the yen traded at 158.27 against the U.S. dollar amid fears of a possible intervention by Japanese authorities.
Japan Indexes and Stocks
The Nikkei 225 Stock Average inched lower 0.06% to 54,102.48, and the broader Topix Index decreased 0.09% to 3,665.49.
Semiconductor equipment stocks rebounded after Taiwan Semiconductor reported a strong increase in sales, driven by the sustained demand for high-performance computing.
Softbank Group increased 0.07% to ¥4,054.0, Tokyo Electron decreased 0.4% to ¥42,430.0, and Advantest Corp. added 1.3% to ¥22,785.0.
China Stocks Faced Headwinds as Caution Returned Ahead of Quarterly Results
Li Chen
16 Jan, 2026
Hong Kong
Stocks in China struggled to stay above the flatline amid rising geopolitical tensions and unresolved trade friction.
The Hang Seng Index decreased 0.3%, and the CSI 300 Index eased 0.2% as investors debated the domestic economic outlook and pace of technological developments.
Crude oil prices eased after Middle East nations urged the U.S. president not to attack Iran, as student protests spread to several cities beyond Tehran.
The surge in China's exports in 2025, despite the fall in shipments to the U.S., highlighted the resilience of the Chinese economy in the face of U.S. tariffs.
The historic trade surplus and rising shipments to the European Union, Africa, and Southeast Asian nations underscored the growing leverage of Beijing in its rivalry with the U.S.
China Indexes and Stocks
The Hang Seng Index decreased 0.3% to 26,851.69, and the mainland-focused CSI 300 Index declined 0.2% to 4,744.25.
Artificial intelligence and semiconductor stocks advanced after Taiwan Semiconductor signaled solid demand for its advanced manufacturing capabilities, reassuring investors about the sustainability of data center spending.
SMIC added 1.3% to HK $78.35, Hua Hong Semiconductor Ltd. added 1.7% to HK $101.20, and CATL inched lower 0.5% to HK $485.20.
China Stocks Faced Headwinds as Caution Returned Ahead of Quarterly Results
Li Chen
16 Jan, 2026
Hong Kong
Stocks in China struggled to stay above the flatline amid rising geopolitical tensions and unresolved trade friction.
The Hang Seng Index decreased 0.3%, and the CSI 300 Index eased 0.2% as investors debated the domestic economic outlook and pace of technological developments.
Crude oil prices eased after Middle East nations urged the U.S. president not to attack Iran, as student protests spread to several cities beyond Tehran.
The surge in China's exports in 2025, despite the fall in shipments to the U.S., highlighted the resilience of the Chinese economy in the face of U.S. tariffs.
The historic trade surplus and rising shipments to the European Union, Africa, and Southeast Asian nations underscored the growing leverage of Beijing in its rivalry with the U.S.
China Indexes and Stocks
The Hang Seng Index decreased 0.3% to 26,851.69, and the mainland-focused CSI 300 Index declined 0.2% to 4,744.25.
Artificial intelligence and semiconductor stocks advanced after Taiwan Semiconductor signaled solid demand for its advanced manufacturing capabilities, reassuring investors about the sustainability of data center spending.
SMIC added 1.3% to HK $78.35, Hua Hong Semiconductor Ltd. added 1.7% to HK $101.20, and CATL inched lower 0.5% to HK $485.20.