** China's blue-chip CSI 300 Index dropped 0.77%, while the Shanghai Composite Index fell 1.15%.
** Hong Kong's Hang Seng Index lost 0.53%, and the Hang Seng China Enterprises Index declined 0.77%.
** China's imports contracted sharply in April, while exports rose at a slower pace, pointing at a still-sluggish recovery in domestic goods demand and sliding external demand, exacerbating fears surrounding the durability of economic revival, analysts say.
** A-shares retreated from recent 10-month highs.
** "Investors are taking a wait-and-see approach as import
figures are weak and the global economic outlook faces high
uncertainties," said Linus Yip, chief strategist at First
Shanghai Securities. Yip expects Hong Kong shares to remain a
range-bound trade in the second quarter.
** Asian stocks were struggling to advance ahead of U.S.
consumer price data that could damage hopes for interest rate
cuts later this year if inflation fails to show much of a
decline. The data is due at 1230 GMT.
** Meanwhile, a sweeping crackdown on due diligence firms in
China is roiling the sector and upset investors.
** Reuters
reported
CICC Capital, a unit of leading Chinese investment bank
China International Capital Corp , stopped using
consultancy Capvision, following an investigation into the
latter on national security.
** China securities suffered $3.8 billion of outflows during
April, as the positive effect of the economy's reopening faded
away, according to a report by the Institute of International
Finance.
** In mainland A-share markets, the financial sector slumped
as investors sold on gains. The banking sector corrected a further 3.3% to lead the decline, while brokers and insurance dropped 2.9% and 2.8%,
respectively.
** Real estate companies also dropped 1.7%.
** Hong Kong-listed tech giants turned positive in
the afternoon and closed 0.3% higher.
(Reporting by Summer Zhen; Editing by Varun H K and Sohini
Goswami)
