Investing.com - Mainland investors have sold around $3.2 billion of Hong Kong equities in August so far, marking the largest monthly selling figure since China launched its first exchange link with the city in 2014, Bloomberg reported on Wednesday citing daily turnover data.
Internet giant Tencent Holdings Ltd (HK:0700) accounted for over half of the sales as its stocks lost 13% in a five-day slump earlier this month after the company surprised investors with a profit decline earlier this month.
The fall in stock prices came after regulators banned the sale of blockbuster game “Monster Hunter: World” on Tencent’s WeGame platform just days after its release, citing large number of complaints about its content. Analysts earlier predicted the game to be one of the company’s biggest sellers.
The report cited the escalating U.S.-China trade tensions as headwind for local stocks, while deleveraging measures and the yuan’s weakness also put pressure on markets.