The benchmark Hang Seng Index ended trading on Thursday down 177 points, or 0.7 percent, at 25,116.
The China enterprises index was almost 48 points, or 0.56 percent, down at 8,456 while the tech index was 77 points, or 1.63 percent, down at 4,679.
Across the border, the Shanghai Composite Index ended the day down 29 points, or 0.74 percent, at 3,919.
The Shenzhen Component Index was 219 points, or 1.6 percent, lower at 13,486 while the ChiNext, tracking China’s Nasdaq-style board of growth enterprises, was 74 points, or 2.31 percent, lower at 3,172.
The losses came after Trump said on Wednesday that the US military had nearly accomplished its goals in Iran, but declined to set a concrete timeline to wind down the conflict, only saying targets in the Islamic Republic would be hit over the next two to three weeks.
“The only thing that really matters is whether the Strait of Hormuz will open soon,” said Prashant Newnaha, senior rates strategist at TD Securities.
“Trump’s speech doesn’t imply this is likely to happen as quickly as the markets were expecting. Threats that the US will strike Iranian power plants if no deal is reached and that it will bring Iran back to the Stone Age point to further escalation.”
Semiconductor shares were among the biggest losers, as Trump’s comments dented risk appetite, with industry-tracking sub-indexes and losing 3.1 percent and 2.24 percent, respectively.
Oil prices climbed more than US$5 on Thursday as the comments fanned investor fears about sustained disruptions to supply.
And the CSI300 Energy index outperformed the market by rising 1.97 percent.
In general, Chinese markets were calmer than their regional peers.
China’s readiness to handle an energy shock has helped its financial markets to turn in a world-beating month and has global investors looking to boost their exposure as the Iran war drags on.
In Tokyo, however, the Nikkei ended the day 1,276 points, or 2.38 percent, lower at 52,463, after rising as much as 0.97 percent earlier in the session.
In Seoul, the Kospi ended down 244 points, or 4.47 percent, lower at 5,234 after steep losses triggered a sidecar trading curb during the session. (Reuters/Xinhua)
Edited by Tony Sabine
