Hong Kong protests rattle global firms

The unrest in Hong Kong is prompting people to stay away from Walt Disney's Disneyland theme park in the city. The US company's chief executive, Bob Iger, told analysts that visits to the park were significantly suffering because of the protests. "We will feel it in the quarter that we’re currently in, and we’ll see how long the protests go on," he said on an earnings call.

Hong Kong's flagship carrier said ticket sales fell in July as fewer people travelled into the city. The protests are also hurting future bookings at the airline. Cathay Pacific found itself into further trouble after Beijing asked the airline to bar crew members who had taken part in the demonstrations from flying into mainland China.

Intercontinental Hotels, which owns Crowne Plaza and Holiday Inn chains, said earlier this month the unrest in Hong Kong was hurting demand. Declining tourist and corporate arrivals are also putting a strain on the businesses of Marriot and Wynn hotels, who expect the protests to hit their second-half results.

The unrest has taken a toll on popular luxury brands such as Cartier and Prada, which have built a strong presence in the city to cater to the rising affluent consumers from mainland China. Cartier-owner Richemont said its sales were hit because of store closures and a fall in tourist arrivals, especially from China. Italian fashion brand Prada's business was also affected by the protests.

Retail sales, a key part of the city's economy, fell nearly 7% in June, hurt by the mass protests. Shopkeepers see a steeper fall in July and August. They say tourist arrivals halved last month.

Hong Kong Financial Secretary Paul Chan warned on Sunday that the city was entering "a very difficult economic environment" amid weakening trade and slowing growth. He said the protests had hurt Hong Kong's reputation of being a safe city for tourists and businesses. The city's leader, Carrie Lam, has already warned of the economic fallout from the unrest.