China, HK stocks slip as AI shares retreat; energy bucks trend

Business Recorder reported that shares in mainland China and Hong Kong lost ground on Tuesday, as artificial intelligence and technology names pulled back. Energy stocks bucked the trend and rose, as worries grew that the Middle East conflict could escalate. Crude rose after negotiations aimed at ending the US-Iran war hit a standstill.

The blue-chip CSI300 index shed 0.8% by the lunch break, while the Shanghai Composite gave up 0.4% and the Hang Seng retreated 0.7%. The CSI Artificial Intelligence Index fell 2.1%, the 5G Communication Index slipped 1.8%, and Hong Kong tech majors dropped 2%. Memory chipmaker Changxin Technology shed 3.7%, reversing part of Monday's 12% jump that had taken the stock to a record high.

PetroChina advanced more than 2%, and onshore consumer staples shares inched up 0.4% even as data pointed to a loss of momentum in China's economy early in the second half. UBS analysts said in a note that several major consumer firms reporting results this week will be closely watched for signals on demand. Separately, the Robot Industry Index gained almost 1%, with Leader Harmonious Drive Systems rising 5.5% ahead of the Wednesday stock market debut of humanoid robot firm Unitree.