London Daily

Focus on the big picture.
Thursday, Jul 10, 2025

Hong Kong stocks fall as China hits insurers while Li Auto limps in debut

Hong Kong stocks fall as China hits insurers while Li Auto limps in debut

Hong Kong stocks slipped after China pledged to strengthen regulations to steady the economy. Insurance technology platform operators appear to be the next target, according to media reports.

Hong Kong stocks fell, halting a three-day advance after China signalled it would strengthen regulations to steady the economy and amid a report insurance technology platforms are being targeted. Chinese Tesla rival Li Auto failed to garner a premium on its first day of trading.

The Hang Seng Index fell 0.5 per cent to 26,517.82 at the close of Thursday trading. The Shanghai Composite fell 0.2 per cent, while the CSI 300 of the biggest stocks in Shanghai and Shenzhen declined 0.8 per cent.

The State Council, China’s cabinet, said it would work on legislation including national security, technological innovation and antitrust to strengthen the government, according to a statement on Wednesday. The banking and insurance regulators separately ordered companies and local agencies to curb improper marketing and pricing practices, Bloomberg and the Securities Journal reported.

Ping An Insurance fell 2.6 per cent to HK$68, while ZhongAn Online P&C Insurance slumped 11.5 per cent to HK$37.80. Hong Kong Exchanges and Clearing fell 3.5 per cent to HK$499.20 as the bourse operator’s first-half profits trailed estimates and amid concerns China’s clampdown will slow stock listing applications and related fees.

“In China, the evidence is now clear that we are seeing a policy shift and not a spasm of regulation,” Rabobank analyst Michael Every said in a report. “The key question for markets is if this is positive or negative for growth” at a time when the economy is grappling with a resurgence in Covid-19 infections, he added.

China has tightened measures in hospitals to prevent infections within health facilities as the nation faces its most serious outbreak since last year’s peak. Six mainland provinces reported a total of 90 new local infections on Wednesday, according to government data.


Recovery momentum has faded in China as the Delta variant fuelled downside risks to growth in the second half of the year, Union Bancaire Privée said in a report on Thursday. Rising regulatory risks are weighing on medium-term growth prospects, especially in segments targeted by national reform or security efforts, the Swiss private bank said.

Electric-vehicle maker Li Auto fell 0.8 per cent to HK$117 on its debut versus its offering price of HK$118. The shares were indicated at HK$115.90 in grey-market trading on Wednesday, according to prices from Bright Smart Securities and Phillip Securities. The carmaker raised HK$11.6 billion (US$1.49 billion) from the sale of 100 million shares to investors.

Markets in Asia-Pacific were mixed. Japan’s Nikkei 225 slipped 0.2 per cent, while Korea’s Kospi fell 0.4 per cent. Australia’s ASX 200 edged up 0.1 per cent.

Newsletter

Related Articles

0:00
0:00
Close
Severe Heatwave Claims 2,300 Lives Across Europe
NVIDIA Achieves Historic Milestone as First Company Valued at $4 Trillion
Declining Beer Consumption Signals Cultural Shift in Germany
Linda Yaccarino Steps Down as CEO of X After Two Years
US Imposes New Tariffs on Brazilian Exports Amid Political Tensions
Azerbaijan and Armenia are on the brink of a historic peace deal.
Emails Leaked: How Passenger Luggage Became a Side Income for Airport Workers
Polish MEP: “Dear Leftists - China is laughing at you, Russia is laughing, India is laughing”
BRICS Expands Membership with Indonesia and Ten New Partner Countries
Weinstein Victim’s Lawyer Says MeToo Movement Still Strong
U.S. Enacts Sweeping Tax and Spending Legislation Amid Trade Policy Shifts
Football Mourns as Diogo Jota and Brother André Silva Laid to Rest in Portugal
Labour Expected to Withdraw Support for Special Needs Funding Model
Leaked Audio Reveals Tory Aide Defending DEI Record
Elon Musk Founds a Party Following a Poll on X: "You Wanted It – You Got It!"
London Stock Exchange Faces Historic Low in Initial Public Offerings
A new online platform has emerged in the United Kingdom, specifically targeting Muslim men seeking virgin brides
Trump Celebrates Independence Day with B-2 Flyover and Signs Controversial Legislation
Boris Johnson Urges Conservatives to Ignore Farage
SNP Ordered to Update Single-Sex Space Guidance Within Days
Starmer Set to Reject Calls for Wealth Taxes
Stolen Century-Old Rolls-Royce Recovered After Hotel Theft
Macron Presses Starmer to Recognise Palestinian State
Labour Delayed Palestine Action Ban Over Riot Concerns
Swinney’s Tax Comments ‘Offensive to Scots’, Say Tories
High Street Retailers to Enforce Bans on Serial Shoplifters
Music Banned by Henry VIII to Be Performed After 500 Years
Steve Coogan Says Working Class Is Being ‘Ethnically Cleansed’
Home Office Admits Uncertainty Over Visa Overstayer Numbers
JD Vance Questions Mandelson Over Reform Party’s Rising Popularity
Macron to Receive Windsor Carriage Ride in Royal Gesture
Labour Accused of ‘Hammering’ Scots During First Year in Power
BBC Head of Music Stood Down Amid Bob Vylan Controversy
Corbyn Eyes Hard-Left Challenge to Starmer’s Leadership
London Tube Trains Suspended After Major Fire Erupts Nearby
Richard Kemp: I Felt Safer in Israel Under Attack Than in the UK
Cyclist Says Police Cited Human Rights Act for Riding No-Handed
China’s Central Bank Consults European Peers on Low-Rate Strategies
AI Raises Alarms Over Long-Term Job Security
Saudi Arabia Maintains Ties with Iran Despite Israel Conflict
Musk Battles to Protect Tesla Amid Trump Policy Threats
Air France-KLM Acquires Majority Stake in Scandinavian Airlines
UK Educators Sound Alarm on Declining Child Literacy
Shein Fined €40 Million in France Over Misleading Discounts
Brazil’s Lula Visits Kirchner During Argentina House Arrest
Trump Scores Legislative Win as House Passes Tax Reform Bill
Keir Starmer Faces Criticism After Rocky First Year in Power
DJI Launches Heavy-Duty Coaxial Quadcopter with 80 kg Lift Capacity
U.S. Senate Approves Major Legislation Dubbed the 'Big Beautiful Bill'
Largest Healthcare Fraud Takedown in U.S. History Announced by DOJ
×