(Updates for market close)

SHANGHAI, July 7 (Reuters) - Mainland China and Hong Kong

stocks ended lower on Tuesday, led by property companies, as

investors awaited guidance from minutes of the U.S. Federal

Reserve's latest meeting and fresh domestic economic data.

** At the close, the benchmark Shanghai Composite index

fell 1.3%, lowest close since June 11, while the

blue-chip CSI300 index dropped 1%.

** In Hong Kong, the benchmark Hang Seng Index lost

0.5% and the city's tech shares edged down 0.8%.

** Property shares were the main drag, with a sub-index

tracking the sector declining 3.6%.

** The World Bank projected China's economic growth would

ease to 4.4% in 2026 and to 4.3% in 2027 as the property sector

continues to adjust to lower housing demand and consumers remain

cautious.

** The weakness also tracked regional peers, as South Korea

led losses after Samsung Electronics' ( SSNLF ) forecast

triggered a reassessment of stretched valuations tied to the AI

trade.

** Investors are awaiting a string of domestic economic data

due for release in the coming week, hoping for a clearer picture

of the broader economy.

** China is due to report June inflation data on Thursday,

followed by second-quarter gross domestic product (GDP) figures

and other activity indicators next Wednesday.

** "While high-frequency activity indicators likely stayed

soft in June, we expect Q2 GDP growth to prove more resilient

than monthly data may suggest, supported by its supply-side

nature, as well as likely solid services consumption and tech

capex during the period," said Serena Zhou, senior China

strategist at Mizuho Securities.

** "We therefore expect Beijing's policy support to remain

measured and targeted, with the policy mix skewed toward fiscal

measures."

** In overseas markets, focus is on minutes of the Federal

Open Market Committee's (FOMC) June meeting on Wednesday for

clues about the U.S. rate outlook.

** Beijing and Hong Kong authorities announced a range of

measures to bolster currency, bond and gold trading in Hong

Kong, stepping up efforts to establish the city as a leading

offshore yuan centre amid heightened geopolitical tensions.

** Investor thinking on Chinese assets is changing, as

steady returns through the turbulence of the Iran war and AI

frenzy show how China has broken step with global markets,

carving out a niche as a sandbag against volatility.