Hang Seng Index approaches bear market; capital abandons Hong Kong to speculate in Japanese and Korean stocks

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June 27, 2026

Hang Seng Index Nears Bear Territory as Funds Abandon Hong Kong for Japanese and Korean Stocks

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The Hang Seng Index has lost the 23,000-point mark, falling nearly 20% from its January high, approaching a technical bear market and extending the longest losing streak since 2015. Michael Burry, the real-life protagonist of the movie The Big Short and legendary hedge fund manager, stated that the decline in Hong Kong stocks is mainly triggered by technical pressure, as funds are pulled out of the Hong Kong market and rotated into Japanese and Korean stocks. He expects selling pressure to persist but hinted that his fund may increase holdings, including Alibaba (0 ...

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