Hong Kong Has a Haven From Trade-War Jolts
Stocks focused on the Greater Bay Area may prove relatively immune to the volatility affecting the wider market.
Calmer waters: the bridge linking Hong Kong with the Greater Bay Area.
Photographer: Justin Chin/BloombergThe plunge in Hong Kong stocks this week triggered by the renewed U.S.-China trade conflict was the latest jolt for a market that’s veered wildly between bear and bull territory in the past two years. Investors seeking a haven from the volatility have few places to turn: one may be stocks tied to the Greater Bay Area.
China’s plan to knit together nine mainland cities with Hong Kong and Macau into a cohesive economic powerhouse has generated optimism and suspicion. Critics have attacked the project as hot air. Worse, some have seen it as simply another tactic by the Chinese government to undermine the greater political freedom enjoyed by the former colonies.