This screenshot taken from the official website of the Hong Kong Observatory shows the potential track area of tropical storm Nangka.

HONG KONG - The Hong Kong Observatory (HKO) has lowered the typhoon signal to No. 3 as tropical storm Nangka continued to move away from the city.

In a bulletin issued at 7:40 pm Tuesday, the HKO lowered the storm signal from No. 8 to the Strong Wind Signal, No. 3, which means that winds with mean speeds of 41 to 62 kilometers per hour are expected.

In a bulletin issued at 7:40 pm, the HKO lowered the typhoon signal to the Strong Wind Signal, No. 3, which means that winds with mean speeds of 41 to 62 kilometers per hour are expected

“Nangka will continue to move away from Hong Kong. Under the combined effect of Nangka and the northeast monsoon, Hong Kong will still be affected by strong winds and there will be occasional gales offshore and on high ground tonight and at first tomorrow,” the HKO said.

READ MORE: Observatory set to raise typhoon signal No. 8 over HK

The HKO said tropical storm Nangka has made landfall on Hainan Island and, at 8 pm,  was estimated to be about 520 kilometres southwest of Hong Kong.

It was forecast to move west or west-northwest at about 20 kilometers per hour crossing Hainan Island, the HKO said.

In the past hour, the maximum sustained winds recorded at Waglan Island, Green Island and Cheung Chau Beach were 78, 72 and 70 kilometers per hour with maximum gusts exceeding 92, 89 and 89 kilometers per hour respectively, it added.

Hong Kong scrapped trading of stocks and bonds earlier in the day after the HKO kept its storm signal at No. 8, the third-highest on its scale. Most businesses close and public transport becomes limited when No. 8 signal or above is in place. 

Under Hong Kong stock exchange rules, trading will be abandoned for the day if the signal isn’t lowered to 3 or below before noon. A typhoon in August also disrupted stock trading in the city, with the market opening at 1:30 pm.

All the banks across the city would also be closed for the day, according to the Hong Kong Association of Banks.

ALSO READ: HKO issues first typhoon signal No. 9 of the year

A pedestrian's umbrella is flipped out amid strong wind in Tseung Kwan O, Hong Kong, Oct 13, 2020.. (CALVIN NG / CHINA DAILY)

Many public services are affected, with hearings of the courts adjourned and driving tests canceled. 

The Hong Kong government announced that four temporary testing centers located in Wan Chai, Kwai Tsing, Kowloon City and Yau Tsim Mong districts were closed due to the typhoon. The Education Bureau announced that classes of all-day schools are suspended.

As of around 2 pm, the Home Affairs Department has opened 22 temporary shelters in various districts and 78people had sought refuge at the shelters.

One person has sought medical treatment at public hospitals as of 2 pm and authorities received eight reports of fallen trees. No report of landslide or flooding has been received so far.

It is the second typhoon signal No. 8 issued by the Hong Kong Observatory this year, following typhoon Higos which forced up to a signal No. 9 on Aug 18 and 19.

In 2018, the city raised the maximum No. 10 signal when Typhoon Mangkhut left the city with roads blocked, buildings damaged and low-lying areas flooded.

With inputs from Agencies