HK Stock Market Move | Gaming stocks are under pressure again as Macau's gaming revenue in July fell short of expectations. Citigroup predicts a rebound in August.

The gaming stocks are once again under pressure. As of the time of writing, Sands China (01928) is down 2.97%, trading at HK$14.06; SJM Holdings (00880) is down 2.91%, trading at HK$1.50; Melco International Development (00200) is down 2.75%, trading at HK$3.54; MGM China (02282) is down 2.04%, trading at HK$11.02. In terms of news, Macau's gross gaming revenue in July fell 8.4% year-on-year to MOP 20.26 billion, marking the second consecutive month of year-on-year decline, although it rose 9.4% compared to the previous month. Citigroup stated that Macau's gaming revenue in July was below the banks forecast of MOP 21 billion and the market expectation of MOP 20.8 billion. The discrepancy was mainly attributed to Typhoon "Hato," which impacted the Hong Kong and Macau region from July 26 to 27. The average daily gaming revenue over the last 12 days of July reached approximately MOP 684 million, and the bank believes this would have exceeded MOP 700 million without the typhoon. Looking ahead to August, there are large concerts scheduled almost every weekend in Macau. Citigroup predicts that Macau's gaming revenue could rebound to MOP 23.5 billion in August, representing a year-on-year increase of 6%.