Hong Kong stocks slipped 262 points or 1.0% to 25,410 on Friday morning, down for the first time in six sessions as traders took profits after markets hit a near 4-year top earlier in the week. Caution also mounted ahead of next week’s third round of trade talks with the U.S. in Stockholm, aimed at extending a tariff truce set to expire on August 12. Meanwhile, Wall Street ended mixed overnight, amid a rise in U.S. Treasury yields following strong U.S labor data, reinforcing bets for a prolonged Fed rate hold. Most sectors dipped, led by tech, consumers, and financials. Early laggards included Kuaishou Tech (-4.1%), Akeso Inc. (-3.2%), and Xiaomi Corp. (-1.9%). Still, the Hang Seng remains on track for a third straight weekly gain, up roughly 2.4% so far, lifted by optimism over a major hydropower project in Tibet, and fresh policy backing from Beijing for key sectors. Investors also awaited China’s upcoming Politburo meeting, which could set the tone for economic policy in H2 of 2025.