No abnormalities detected as stock market has its rises and falls, says John Lee

It’s normal that the stock market has its rises and falls and no abnormalities are detected, Chief Executive John Lee Ka-chiu said on Tuesday, a day after Hong Kong’s Hang Seng Index plummeted below 15,000 points. 

Speaking before the Executive Council meeting, Lee said the government and the Hong Kong Monetary Authority will closely and carefully monitor the development, adding that the market is functioning in an orderly manner. 

When asked if authorities will “save” the market, Lee said the market is sensitive and has different reactions to various factors including the high interest rate, complicated geographical relations, uncertainties in supply chain and logistics, and the US presidential election. 

Lee appealed to investors to exercise caution and keep a close eye on the market developments before making any decisions. 

Hang Seng Index opened with gains on Tuesday and has increased by 2.46 percent to 15,329.90 points as of noon. 

The Hong Kong leader stressed that the SAR remains competitive and attractive as an international financial hub. 

The free flow of capital, highly transparent operations, perfected monitoring mechanisms that are up to international standards, connections to the international society and other financial hubs can ensure a fair competitive environment in the city. 

Lee also expressed his strong faith in the market as he recalled Chinese Vice-President Han Zheng’s meeting with HSBC (0005) chairman Mark Tucker on Monday. 

Han told Tucker that the central government fully supports developing the SAR as a finance hub, while Tucker promised the bank would actively support Hong Kong and promote cooperation between the United Kingdom and China.