Hong Kong stocks reversed earlier losses to edge higher on Tuesday, led by gains in consumer goods makers, although caution prevailed amid escalating trade tensions after Beijing unveiled retaliatory trade measures against the United States. At close of trade, the Hang Seng index was up 0.3 percent at 30,180.10, while the Hang Seng China Enterprises index closed up 1.2 percent to 12,136.67.
Trading was thin as investors remained cautious amid escalating trade tensions between the world's largest economies and a selloff on the Wall Street. ** China raised tariffs by up to 25 percent on 128 US products, from frozen pork and wine to certain fruits and nuts, escalating a dispute between the world's biggest economies in response to US duties on imports of aluminium and steel.
The sub-index of the Hang Seng tracking energy shares dipped 0.4 percent while the IT sector rose 0.08 percent. The financial sector was 0.51 percent higher and property sector dipped 0.19 percent. The top gainer on Hang Seng was Hengan International Group Company Ltd, up 8.25 percent, while the biggest loser was CNOOC Ltd with a 3.46 percent fall.
The top gainers among H-shares were Guangzhou Automobile Group Co Ltd up 9.54 percent, followed by Hengan International Group Company Ltd gaining 8.25 percent and Anhui Conch Cement Co Ltd rising 7.6 percent. The three biggest H-shares percentage decliners were CNOOC Ltd which lost 3.46 percent, Huaneng Power International Inc which fell 2.5 percent and Dongfeng Motor Group Co Ltd that was down by 2.3 percent.