Hong Kong Stocks End Morning Lower

Shares dipped in Hong Kong on Wednesday morning, hit by concerns about the timing of a new US stimulus package with lawmakers struggling to reach a compromise.

The Hang Seng Index eased 0.2 percent, or 47 points, to 24,842.

Shares in mainland markets also fell and were on course for their worst day in over two weeks due to souring global market sentiment and data showing softer growth in bank lending.

At the midday break, the Shanghai Composite index was down almost 2 percent at 3,273. The blue-chip CSI300 index fell 2.2 percent.

Both are set to post their worst daily percentage fall since July 24.

Elsewhere, Sydney slipped 0.5 percent and Seoul dropped 0.3 percent. Singapore, Jakarta and Taipei were all down. But Tokyo was slightly higher by lunch thanks to a weaker yen.

Wellington dropped more than one percent after a three-day lockdown was announced for Auckland, New Zealand's biggest city with a population of 1.5 million, after four people tested positive, ending a 102-day run that had fanned hopes the disease had been contained.

The declines came as political gridlock between the Republican White House and congressional Democrats over coronavirus relief continued for a fourth day, with each party blaming the other for intransigence.

Barring a bipartisan deal, the US economy could be left with measures US President Donald Trump called for on Saturday through executive orders to bypass Congress.

"We have enormous uncertainty. It appears it's getting harder for both sides to compromise as the election is nearing... Trump's proposals would be smaller than markets have expected. There's question over whether they are viable, too," said Junpei Tanaka, strategist at Pictet. (AFP, Reuters)