Hang Seng closes below 23,000 as tech shares retreat

Published on 10/29/2026 at 18:32 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

The Hang Seng Index reversed early gains and closed below 23,000 points on October 29. Technology stocks came under pressure as investors assessed the Federal Reserve's unchanged rates and mixed signals from global AI earnings.

Hang Seng Ends Below 23,000

The Hang Seng Index closed at 22,958.65 on October 29, down 0.59 percent.
Technology shares led the decline, with the Hang Seng Tech Index falling 2.84 percent.
Investors weighed the Federal Reserve's rate decision and renewed concerns about AI-related spending.

Hang Seng, HK0000004322, Illustration mit AI erstellt.

The Hang Seng Index ended lower on Thursday, October 29, as technology stocks weakened and the market gave back an early advance. The benchmark closed at 22,958.65 points, down 136.18 points or 0.59 percent, according to Xinhua. The report was published at 16:57 Hong Kong time, after the local session had ended.

Early Gains Give Way to Selling

The index briefly rose to 23,184 points in morning trading before retreating, according to Futunn. Turnover reached HK$189.453 billion. The Hang Seng China Enterprises Index fell 0.46 percent to 7,755.66, while the Hang Seng Tech Index dropped 2.84 percent to 3,744.14, highlighting the concentration of selling pressure in growth and technology shares.

AI Concerns Weigh on Technology

RTHK reported that a deepening technology selloff overshadowed the Federal Reserve's decision to keep interest rates unchanged. The broadcaster said the decline also followed weaker sentiment around semiconductor and AI-related shares after Samsung Electronics fell despite reporting record quarterly earnings. RTHK quoted UBS strategist James Wang as saying that AI hardware valuations were near historical lows, while investor sentiment remained fragile.

Global earnings news added to the uncertainty. Reuters reported that Alphabet's shares fell sharply in after-hours trading after its cash burn raised concerns about the returns from large AI investments. The Federal Reserve held rates steady overnight, although two officials voted for a hike, leaving markets focused on the outlook for inflation and future policy.

Defensive Rotation in Focus

Market commentary on the Hong Kong session pointed to a rotation away from higher-valued AI hardware and toward financial, insurance and energy companies. That shift was visible in the reported performance of several mainland banks, insurers and PetroChina, although the broader index remained weighed down by its technology-heavy composition. The close below 23,000 leaves the next session sensitive to further global technology earnings and changes in expectations for US monetary policy.

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