The Hang Seng suffers biggest daily drop since May last year amid HK’s first trading tax hike since 1993

China investors sell a record $2.6 billion worth of Hong Kong stocks

HSI

The selloff in the Hang Seng and Chinese markets is one the big stories in Asian trading today, which in part is also contributing to the softer risk mood earlier. At the close, the Hang Seng is down 3% and posts its biggest daily drop since 22 May last year.

This comes after the Hong Kong government announced to increase stamp duty on stock trades for the first time since 1993, provoking an exodus of Chinese investments.