Macau stocks dived 10 percent to 20 percent on Monday after a weekend visit to the casino territory by Chinese Vice-President Xi Jinping failed to yield a much-awaited relaxation of the Mainland’s travel restrictions.
Mr Xi instead urged Macau to diversify its gaming-driven economy.
Galaxy Entertainment Group, the casino developer held by the family of tycoon Lui Che-woo, fell the most, sinking 19.44 percent to HKD1.16.
Stanley Ho’s SJM Holdings shed 10.16 percent to end at USD1.68. His son Lawrence Ho’s Melco International Development fell 12.41 percent to HKD2.40.
Property developer and ferry operator Shun Tak Holdings, run by Mr Ho’s daughter Pansy Ho, fell 15.53 percent to HKD2.23.
Investors last week bid up Macau stocks, betting the two-day visit by Mr Xi, Beijing’s watchman on Hong Kong and Macau affairs, would lead to an end or easing of a seven-month-old crackdown on the rules for the Individual Visit Scheme that allows Mainlanders to visit Macau.
Since October, mainlanders travelling independent of tour groups have only been able to visit Macau once every three months, down from twice a month before 1st June last year.
Mr Xi reiterated Beijing’s pledge to support Macau in six areas, but said nothing of stimulus measures for the city’s all-important tourism and entertainment industry. His only direct mention of casinos came when he issued a reminder that Mainland state-funded firms are banned from investing in the gaming industry.
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