* HSI -1.1 pct, H-shares -0.8 pct, CSI300 -0.4 pct
* Tech subindex in Hong Kong reaches four-month low
* Hong Kong property down on local demand and worries on
By Natalie Thomas
BEIJING, May 7 Hong Kong stocks fell on
Wednesday as concerns on property and tech valuations hurt
investor confidence after a U.S. tech sell-off triggered by a
steep drop in Twitter's share-price.
China shares were also weak after a private survey showed
that growth in the country's service sector slowed, though
property stocks marginally outperformed.
By midday, the Hang Seng Index was down 1.1 percent
at 21,738.66 points. The China Enterprises Index of the
top Chinese listings in Hong Kong dropped 0.8 percent.
The CSI300 index of the largest Shanghai and
Shenzhen A-share listings was down 0.4 percent, as was the
Shanghai Composite Index, at 2020.38 points.
In New York overnight, shares of Twitter fell 18
US tech woes spilled over into Hong Kong, with the HSI
information technology subindex down 3.2 percent to its
lowest level since Dec. 27 amid persisting global concerns about
overvaluations in the sector.
"It's a sentiment thing. Overnight we had across the board
selling in the US triggered by Twitter," said Alex Wong, a
director at Ample Finance Group, who pointed out that even
social media platform YY Inc shares fell in the US,
despite the firm issuing encouraging earnings.
Index heavyweight Tencent Holdings was down 3.5
percent. The stock came under extra pressure after its main
rival Alibaba filed its initial public offering prospectus in
the US on Tuesday, bringing the Chinese tech giant a step closer
But movement on the Alibaba IPO provided a boost for Wasu
Media Holding Co Ltd which jumped 5.7 percent.
Alibaba founder Jack Ma and other partners own 20 percent in the
The Hong Kong real estate subindex dropped 1.9
percent, as investors worried about local demand for housing and
exposure to the sector in the mainland.
China Resources Land Ltd was down 5.1 percent and
China Overseas Land and Investment lost 4.0 percent.
Wharf Holdings Ltd shed 3.1 percent.
Mainland stocks slackened across the board, after the
Markit/HSBC services Purchasing Managers' Index (PMI) showed
growth in the sector slipped to 51.4 in April from March's 51.9,
adding to an increasingly cloudy outlook for the world's
But mainland property shares marginally outdid the main
indexes, falling just 0.1 percent, after having lost 5.4 percent
over the previous four days as evidence of distress in the
Shares of China Railway Construction Corp Ltd
rose 3.3 percent in Shanghai to their highest in three weeks,
and gained 0.7 in Hong Kong after the railway builder
said it signed a $13.1 billion deal for a high-speed railway in
(Additional reporting by Donny Kwok in Hong Kong; Editing by