China, Hong Kong stocks rise despite US tech slide, anticipated Fed hike

China and Hong Kong stocks rebounded on Tuesday morning, as Asian investors shook off a further slide in U.S. tech shares, although they remained cautious ahead of a likely U.S. rate hike this week.

China’s blue-chip CSI300 index rose 0.2 per cent, to 3,579.79 points by the lunch break, while the Shanghai Composite Index gained 0.4 per cent, to 3,151.25 points.

Small-caps bounced back. Shenzhen’s start-up board ChiNext , which dropped 1.2 per cent on Monday, gained over 1 per cent.

But investors were wary as many expect liquidity to tighten.