Hong Kong and Shanghai stocks pulled back Thursday, giving back gains from the previous session and tracking weakness in the U.S. markets overnight. The Hang Seng Index was down 0.7% about an hour into trade, with the Shanghai Composite down 0.4%. Weak spots on the Hong Kong market included tech shares (Lenovo Group Ltd. down 2.7%, Tencent Holdings Ltd. down 1%) and airlines (Air China Ltd. down 2.1%, China Southern Airlines Co. down 3.9%). Gains for mainland Chinese banks helped offset the losses, after the State Council proposed getting rid of binding loan-to-deposit ratio requirements. Agricultural Bank of China Ltd. rose 0.7%, Bank of Communications Co. rallied 2.2%, and Industrial & Commercial Bank of China Ltd. added 0.9%. On the other hand, Bank of China Ltd. fell 4.8% as its share traded ex-dividend.
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