China and Hong Kong Indexes Succumbed to Profit-Taking Activities

Li Chen
23 Sep, 2025
Hong Kong

Stock market indexes in China and Hong Kong declined after regulators showed little urgency for a stimulus in the imminent future. 

The Hang Seng Index declined 1%, and the CSI 300 Index dropped 1.2% as hopes of monetary stimulus receded following comments from the PBOC governor Pan Gongsheng. 

Governor Gongsheng and regulators from the foreign exchange, securities, and banking sectors at an event reviewed the progress in growing the financial sector over the past five years.

Governor Gongsheng's comments focused on balancing economic growth with stability, and he remained confident that the central bank has adequate tools to manage the broader economy. 

The central bank head's tone showed little urgency in providing additional economic stimulus, as the economy is set to achieve an annual growth rate of 5%, despite international trade headwinds. 

 

China Indexes and Stocks 

The Hang Seng Index decreased 1% to 26,095.10, and the mainland-focused CSI 300 index fell 1.2% to 4,469.01. 

Stocks faced a sell-off following a sharp rally over the last eight weeks, and investors booked profit ahead of the start of the earnings season in three weeks. 

The stock market exchanges in Hong Kong and Shenzhen are expected to remain open with normal operations as the typhoon-prone area awaits the arrival of Ragasa, the strongest storm since 2018. 

Baidu Inc. decreased 7.3% to HK$125.70, Alibaba Group Holding declined 1% to HK$158.20, and Tencent Holdings dropped 1.2% to HK$634.00. 

New Oriental Education & Technology increased 1% to HK$40.26, Bank of China edged higher 0.2% to HK$4.29, and Citic Ltd. gained 1.2% to HK$11.50.