Hong Kong stocks fall to their lowest level in nearly seven months, Yuan depreciation accentuates growth fears in China

* Hang Seng index ends down 1.8 percent China HSCE business index falls 2.2 percent HSI sub-financial sector index 1.9% lower; property down 2.3 pct

June 27 (Reuters) – Hong Kong stocks slid Wednesday to nearly seven months, a sharp drop in the yuan adding to concerns over China's economic growth in a context of increasing trade tensions between the United States and China.

** The Hang Seng index fell 1.8%, to 28,356.26, while the China Enterprises index lost 2.2%, to 10,879.17 points. ** The Chinese yuan has weakened beyond a psychologically key level of 6.6 per dollar and bets are falling further due to the escalating Sino trade -American. The currency posted its lowest official local closing since December 19, 2017.

** There were concerns over Beijing's new real estate investment restrictions, which overthrew the listed mainland developers in Hong Kong. ** The Hang Seng Follow-up Energy Equity Sub-Index rose 0.3% while the IT sector declined 2.66%, the financial sector 1.93%, and the wireless sector. 2.3% real estate. ** The largest gain on the Hang Seng was CNOOC Ltd up 3.18 percent, while the biggest loser was Country Garden Holdings Co Ltd which was down 7.41 percent. ** Chinese stocks extended Wednesday a wave of releases, blue chips having lost their biggest loss in more than a year. ** In the region, the MSCI Asia ex Japan stock index was 0.99% lower, while the Japanese Nikkei index closed down 0.31%. ** The yuan was quoted at US $ 6.59 at 08:25 GMT, 0.16% below the previous close of 6.5797. ** During the previous trading session, the Hang Seng index was down 3.47 percent this year, while China's H stock index was down 5.0 percent. At the previous close, Hang Seng declined 5.21% this month. ** The best gains among H shares were CNOOC Ltd up 3.18%, followed by Shenzhou International Group Holdings Ltd. gaining 0.73% and PetroChina Co Ltd up 0.35%. ** The three largest percentage declines in H shares were Air China Ltd down 5.61%, CSPC Pharmaceutical Group Ltd down 5.3% and China Vanke Co Ltd down 5.2%. ** About 2.65 billion Hang Seng stock indexes were traded, about 135.8% of the 30-day moving average of 1.95 billion shares a day. The volume traded at the previous trading session was 2.61 billion. ** At closing, Chinese A shares traded at 19.62% more than H shares listed in Hong Kong. ** The price / earnings ratio of the Hang Seng Index was 11.34 on the last full trading day while the dividend yield was 3.3%. (Report of the Shanghai editorial by Jacqueline Wong)