Hong Kong stocks dropped by the most in a week, as investors locked in profits from a rally that has pushed the benchmark gauge up by more than a fifth since late January. The Chinese yuan currency hit a six-month low ahead of key economic data.
The Hang Seng Index slumped 1.8 per cent to 18,477.01 at close, its steepest decline since May 21. The Hang Seng Tech Index slid 2.3 per cent, while the Shanghai Composite Index added 0.1 per cent.
Investors are weighing China’s recent measures to shore up the property market and assessing their likely impact on home sales and growth. Guangzhou and Shenzhen joined Shanghai in easing curbs on home purchases on Tuesday, becoming the latest first-tier cities to join nationwide rescue efforts for the troubled industry. A Bloomberg gauge of Chinese property stocks trading in Hong Kong has surged 35 per cent over the past four months.
Sentiment was also dealt a blow after the onshore yuan fell to…
