Hong Kong's benchmark share index fell 0.43 percent on Friday after record high oil prices knocked US stocks lower amid rising concerns that higher operating costs might cripple corporate earnings.
Trading firm Li & Fung Ltd, the biggest blue chip loser, slipped as much as 6.67 percent to a one-year low of HK$9.80 during the day before recouping some losses to end the session at HK$9.90.
Li & Fung drew selling after investment banks reduce their earnings estimates and ratings on the firm, citing slower sales growth and a cloudy outlook after it said first-half earnings rose 21 percent after Thursday's close. The counter sharply underperformed the benchmark Hang Seng Index, which fell 53.60 points to 12,359.83, marking a 0.95 percent loss on the week.
Turnover totalled HK$9.1 billion (US $1.2 billion), lighter than HK$11.46 billion on Thursday.
Most blue chips also ended in negative territory.
The world's largest athletics shoe maker Yue Yuen Industrial Holdings fell for the second straight day on fears the cost of polyester, artificial leather and other petrochemical -related components are likely to increase. The stock dipped 2.31 percent to HK$19.
In the face of mixed US economic data, mini-motor maker Johnson Electric Holdings Ltd, which ships the bulk of its products to the United States, fell 3.29 percent to HK$7.35.
Cheung Kong (Hong Kong) Ltd and Lenovo Group were among a handful of blue-chip gainers.
Leading developer Cheung Kong gained 1.24 percent to HK$61.25 on expectations of solid earnings next Thursday.
Lenovo, China's largest personal computer maker, extended the previous session's strong gains by another 2.22 percent to HK$2.30, after posting forecast-beating quarterly results on Wednesday.
However, not all technology counters enjoyed a solid run-up. CSMC Technology Corp made a lacklustre debut. The counter fell as much as HK$0.41 at one point, but recouped some losses to end the day at HK$0.485, down three percent from its initial offering price of HK$0.50 per share.
"This is not surprising. Take a look at Nasdaq, it just keeps getting lower and lower," said Alex Wong, a director at Rexcapital Asset Management. China-oriented counters, known as H shares, also succumbed to profit taking. Investors dumped power stocks on fears that earnings will be crimped by higher coal prices and easing power demand after Beijing's austerity measures to cool economic growth in certain sectors, including energy.
The H-share index lost 0.96 percent to end at 4,011. Huaneng Power fell 3.57 percent to HK$5.40 while Huadian Power slipped 4.65 percent to HK$2.05.