Hong Kong's developers were among the biggest decliners on Monday, as protests in the city continue.
The MSCI Hong Kong Index fell 1.8 percent as of the mid-day break, its fourth day of losses. Developers were deeper in the red, with Swire Properties leading with a 4.5 percent drop earlier. Wharf Real Estate Investment and New World Development Company were down more than 3.5 percent for the day.
«Compared with the past political events, this round is the worst in Hong Kong so far,» said Shaun Tan, UOB Kay Hian analyst in Hong Kong, who was quoted in a «Bloomberg»(behind paywall) report. «It’s still very difficult to forecast the long-term impact. There will be lots of pressure on the retail sales given the recent political events. Sales of large residential units can also be coming down due to that.»
Retail Landlords Could Get Hit
Global luxury retailers with jewelry and cosmetics hurting as big-spending shoppers stay away. The eighth straight weekend of protests may continue to deter shoppers from going to stores. Some overseas visitors are also canceling their trips, adding to the pain of the city’s retail landlords.
This afternoon, Hong Kong and Macau Affairs Office under the State Council is holding the first press conference to address the extradition-bill crisis. This is the first conference held by Beijing's top policy officials on Hong Kong since the handover.
