China Indexes Trim 2025 Rally Amid Changing Global Economic Outlook

Li Chen
11 Mar, 2025
Hong Kong

Benchmark indexes in China and Hong Kong declined for the third consecutive session amid growing worries of a global economic slowdown. 

The Hang Seng index fell nearly 1%, and the mainland-focused CSI 300 index decreased 0.5% as investors dialed down export-led economic growth and persistent weak consumer sentiment. 

Investors worried that the Trump administration's chaotic administration of the U.S. economy is raising risks of an economic slowdown, shrinking global trade, and encouraging the Federal Reserve to keep higher interest rates for longer. 

The sharp sell-off on Wall Street in overnight trading saw the tech-heavy Nasdaq plunge nearly 4%, and the broader S&P 500 index declined 2% and deepened 2025's losses. 

Moreover, the gains in China's indexes also came to an abrupt halt this week, after the U.S. indexes extended losses in the fourth consecutive week. 

Last month, the euphoria surrounding the success of DeepSeek, raised hopes that more companies will be able to accelerate the adoption of artificial intelligence, and provide a new revenue stream. 

In addition, investors held out for additional stimulus measures after Beijing set an ambitious 2025 economic growth target of 5%. 

Tech stocks led the decliners in Hong Kong following steep losses in New York. 

 

China Indexes and Stocks 

The Hang Seng index dropped 0.9% to 23,565.26 and the mainland-focused CSI 300 index declined 0.5% to 3,909.45. 

Alibaba Group Holding decreased 1.6% to HK $132.40, JD.com dropped 2.4% to HK $158.40, and Tencent Holdings declined 0.8% to HK $512.50. 

Longfor Group fell 1.1% to HK $10.74, China Vanke decreased 2% to HK $6.07, Henderson Land Development Company gained 0.9% to HK $22.80, and Sun Hung Kai Properties gained 0.5% to HK $76.75.

Two new companies started trading in China and attracted strong interest from investors. 

Hanshow Technology soared 130% to 66.45 yuan, and the e-commerce software company sold 42.24 million shares in a public offering at a price of 27.50 yuan and listed its stock on the Shenzhen Stock Exchange. 

Yong Jie New Material soared 130% to 47.12 yuan in Shanghai trading after the aluminum alloy plate and foil products company priced its public offering at 20.60 yuan per share.