HONG KONG - Most markets fell on Thursday ahead of a key policy speech by Federal Reserve chief Jerome Powell, while geopolitical concerns returned after Beijing fired missiles into the South China Sea and the US sanctioned several Chinese firms linked to the disputed region.
The region is one of a number of issues that have seen China-US tensions spike in recent months. In July, Washington declared Beijing's pursuit of territory and resources there illegal, explicitly backing the territorial claims of Southeast Asian countries against China. Hong Kong led losses, dropping one percent with HSBC losing more than two percent after being slammed by US Secretary of State Mike Pompeo over reports it had frozen access to credit card and bank accounts for executives of independent media group Next Media.
The bank has provided crucial support worth trillions of dollars to the world's top economy during the virus crisis, helping stocks bounce back from their March troughs.