Around the World's Markets: Hong Kong

HONG KONG stocks closed sharply lower yesterday, amid renewed worries about a possible devaluation of the Chinese currency. The benchmark Hang Seng index closed at 9,738.52 - a drop of over 3 per cent - and broke through both the 10,000 and 9,800 support levels.

Traders said the deepening of the crisis in Brazil had led to pressure on both the Chinese renminbi and the Hong Kong dollar. Growing concerns about corporate bad debts in China also hit sentiment, dealers said.