Rally May Stall For Hong Kong Stock Market

(RTTNews) - The Hong Kong stock market has climbed higher in three straight sessions, improving more than 480 points or 1.9 percent in that span. The Hang Seng Index now sits just above the 25,080-point plateau although it's looking at a soft start on Wednesday.

The global forecast for the Asin markets is murky, with profit taking likely offset by sinking oil prices. The European and U.S. markets were mixed and little changed and the Asian markets are expected to follow that lead.

The Hang Seng finished modestly higher on Tuesday, nudged into the green by gains among the technology and healthcare sectors.

For the day, the index gained 45.04 points or 0.18 percent to finish at 25,087.75 after trading between 25,043.64 and 25,254.11.

The lead from Wall Street offers little clarity as the major averages opened mixed on Tuesday, faded midday but recover to end on oppositive sides of the line and largely unchanged.

The Dow sank 185.14 points or 0.36 percent to finish at 51,863.69, while the NASDAQ gained 122.18 points or 0.45 percent to close at a fresh record high of 27,244.28 and the S&P 500 eased 0.06 points or 0.00 percent to end at 7,764.64.

The early choppiness came as investors digested comments from U.S. President Donald Trump, who told the United Nations General Assembly that a deal with Iran may be possible after the midterm elections but said that he may instead just decide to "annihilate the Islamic Republic." He also spoke of setting up a "large military presence" on Greenland.

Stocks slumped in reaction but recovered later in the day as energy prices continued to fall, easing inflation concerns and the possibility of another interest rate hike from the Federal Reserve.

Crude oil prices fell on Tuesday, losing for a fifth straight session amid hopes that diplomatic efforts may end the conflict between U.S. and Iran. West Texas Intermediate crude for November delivery was down $5.20 or 5 percent to $90.50 per barrel.

Closer to home, Hong Kong will provide August figures for consumer prices later today; in July, overall inflation was up 0.2 percent on month and 1.7 percent on year.