Hong Kong shares fall to cap the biggest monthly loss in 8 months

Hong Kong's benchmark stock index fell, capping its worst monthly performance in eight months, as AIA Group Ltd tumbled amid concern Chinese curbs on the purchase of insurance products will hurt earnings and lower oil prices weighed on energy producers.

The Hang Seng Index fell 0.1 percent at the close, even as most shares rose, taking its loss in October to 1.5 percent. Mainland investors sold a net 729 million yuan ($108 million) of Hong Kong shares on Monday, the most since July 2015. AIA Group was the biggest decliner after China UnionPay Co halted credit card payments for most insurance policies in Hong Kong. CNOOC Ltd slumped as crude approached $48 a barrel. The Shanghai Composite Index trimmed a monthly advance.

Hong Kong stocks dropped in October as mainland flows into the city through an exchange link with Shanghai dried up and investors boosted bets on higher US borrowing costs. Chinese developers were among the biggest losers as cities rolled out rules to cool property price gains. The declines are a sharp contrast to the previous three-month period, when the Hang Seng Index surged the most in seven years amid expectations the flood of mainland cash would continue to buoy shares.