In a dramatic turn, the Hang Seng Index fell by 201 points, or 0.8%, closing at 26,344 on Monday. This marks a significant dip following a relatively stable performance in the previous trading session, primarily influenced by a sharp decline in U.S. futures ahead of crucial Federal Reserve speeches and an important U.S. inflation report set to be released this week.

As if market jitters weren't enough, Hong Kong is also preparing for one of the most powerful super typhoons in recent years, aptly named Ragasa. With safety in mind, the Hong Kong International Airport announced suspension of all passenger flights for 36 hours starting Tuesday evening, as officials hurriedly implement their storm preparedness plans.

Despite the gloomy outlook, some losses were mitigated by the People's Bank of China's decision to maintain key lending rates at their record lows for a fourth consecutive month, aligning with market expectations.

However, the property sector was hit hard, leading the decline with losses over 1%, closely followed by financials, consumer goods, and tech stocks. Among the notable decliners was BYD Co., which fell 2.2% after reports surfaced that Berkshire Hathaway had completely divested its stake after a notable 17-year partnership.

Other significant losers included Citic, down a staggering 6.3%, followed by SITC International at -5.9%, Techtronic Industries dipping by 4.0%, and Kuaishou Technology down 2.2%. Investors are undoubtedly on edge, watching the skies and the markets closely.