Chinese stocks slipped, with energy and mining companies leading declines. The Shanghai Composite Index extended its drop to 0.5 percent as of 2:05 p.m. local time, dragged down by losses of at least 2.2 percent for China Petroleum & Chemical Corp. and PetroChina Co. after New York crude slid on Wednesday. Shandong Gold Mining Co. and Zhongjin Gold Corp. lost at least 2 percent after the price of the precious metal fell the most in a month overnight. The Shanghai gauge’s short-term volatility held near a September low. After Monday’s slump, China’s stocks have stabilized amid speculated state intervention during President Xi Jinping’s appearance at the World Economic Forum in Davos. Policy makers have also been supporting the nation’s debt and currency markets, with the People’s Bank of China on track for the biggest week of cash injections on record. Data released Wednesday showed the country’s holdings of U.S. Treasuries dropped in November by the most since 2011 as authorities acted to bolster the yuan. “Chinese markets are likely to fluctuate ahead of the Chinese New Year instead of showing a clear direction either way,” said Linus Yip, a strategist at First Shanghai Securities Ltd. in Hong Kong. “Investors expect the Chinese government to continue stabilizing markets before the holiday.” The Shenzhen Composite Index was little changed. Hong Kong’s benchmark Hang Seng Index fell 0.6 percent and a gauge of the city’s property developers retreated 1 percent. The Hong Kong exchange will decide on a third board this year, Chief Executive Officer Charles Li told reporters.
  • Cathay Pacific Airways Ltd. fell 5%, its largest intraday drop since October, after the airline said Wednesday it will cut jobs and conduct its biggest revamp in two decades
  • Henderson Land Development Corp Ltd. declined 2.2%, heading toward its lowest since Jan. 9, after Morgan Stanley cut its investment rating on Hong Kong property stocks to in-line from attractive