April 18 (Reuters) - Hong Kong stocks closed at a one-month low after posting their biggest percentage drop in four months, as investors returning from their holiday break had their first chance to react to escalating tensions over North Korea.
Sentiment was also hurt by deepening worries over the sustainability of China's economic recovery, with financial and resource shares leading the market decline.
The Hang Seng index fell 1.4 percent, to 23,924.54, while the China Enterprises Index lost 1.6 percent to 10,043.52 points.
Following North Korea's failed missile launch on Sunday, tensions have escalated amid concerns that the isolated state may soon test another nuclear bomb or missile.
Shares fell across the board.
An index tracking commodity shares fell 1.5 percent while the finance sector also dropped 1.5 percent.
But consumer shares, largely viewed as defensive in nature, suffered the least, down only 0.7 percent. (Reporting by the Shanghai Newsroom; Editing by Sam Holmes)