KUALA LUMPUR, Nov 19 (Bernama) -- Bursa Malaysia gave up earlier gains to end mixed today, amid a higher regional market showing, as property, construction, and healthcare counters attracted buying interests, while plantation, banking, and telecommunication stocks saw some profit-taking, an analyst said. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) eased 1.70 points to close at 1,602.34 from yesterday’s close of 1,604.04. The benchmark index, which opened 0.86 of-a-point lower at 1,603.18, moved between 1,601.02 and 1,608.88 during the trading session. However, the broader market was mixed to higher, with gainers leading decliners by 565 to 438 while 502 counters remained unchanged, 961 untraded, and 14 suspended. Turnover narrowed to 2.83 billion units valued at RM2.08 billion versus 2.96 billion units valued at RM2.23 billion yesterday. Rakuten Trade Sdn Bhd equity research vice-president Thong Pak Leng said the benchmark index remained range-bound and it required a dec
Hong Kong's businesses and property owners are facing unprecedented pressure, with many distressed sellers offering assets at fire-sale prices as the city's economic challenges deepen. Driven by China's economic slump, high interest rates, and weak consumer demand, Hong Kong's once-booming real estate sector and other industries are seeing significant declines.
Luxury properties are being sold at steep discounts, with some mansions in Hong Kong’s Peak district sold for as much as 50% below their peak value. For example, the family of real estate investor Ho Shung Pun sold four mansions in July for HK$1.1 billion, half of their previous value. The commercial real estate sector is also under strain, with some office buildings, like a floor in the Bank of America Tower, selling at a loss.
According to Derek Lai, Deloitte’s global insolvency leader, the current wave of distressed assets is the largest seen in 30 years, affecting various industries, from real estate to trading. The collapse of long-standing businesses like Physical Fitness, a gym chain with 14 branches, and restaurants, such as Outback Steakhouse, reflect the broader economic stress. Retail sales have plummeted, and empty storefronts are becoming a common sight, with high-street vacancy rates reaching 12%.
The real estate sector is particularly hard hit, as property developers slash prices amid a 20-year backlog of unsold properties. Sun Hung Kai Properties Ltd., the city’s largest real estate company, priced a new development at 20% below neighboring estates.
Despite recent stimulus measures from China and a rare stock market rally, analysts remain cautious about a potential recovery. Many small and medium-sized enterprises (SMEs) have failed to bounce back to pre-pandemic levels, and some business owners believe it could take up to 15 years for Hong Kong’s economy to fully recover.
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