In the Hong Kong stock market on the 24th, following the start of the third term of Xi Jinping's leadership in China, there was a growing view among investors that they were concerned about future economic management due to the composition of the new leadership. As a result, the representative stock index fell by more than 6%.
The closing price of the representative stock index on the 24th of the Hong Kong stock market, where many Chinese companies are listed, was 15,180.69 points, a significant drop of 6.3% compared to last weekend.
Also in Shanghai, the closing price of a representative stock index fell 2.0% compared to the end of last week.
It was the lowest closing price in 13 and a half years.
This is because the new supreme leadership of the Communist Party, which was elected on the 23rd in China, has been strengthened by the close associates of President Xi Jinping and his subordinates from the provincial era, and the concentration of power in President Xi has progressed further. This is partly due to the spread of concerns about future economic management.
On the other hand, in the Shanghai foreign exchange market on the 24th, there was a move to sell the renminbi and buy the dollar due to concerns about the future of the Chinese economy, and the yuan depreciated for the first time in about 14 years and nine months. rice field.
A market insider said, ``Despite the economic slowdown due to the composition of the new leadership and the impact of the ``zero corona'' policy, policies such as ``common wealth'' that work to eliminate disparities are prioritized over economic growth. Concerns have spread that the conflict with the United States will further worsen."