By Clare Jim, James Pomfret and Anne Marie Roantree HONG KONG (Reuters) - Hong Kong's edge as a financial hub will erode further as the city becomes embroiled in China-U.S. tensions, with the flash sale of a Hong Kong-owned global ports business highlighting geopolitical volatility,

Trump threatened to take back the canal because of what he called Chinese influence. CK Hutchison, a Hong Kong company, is selling its control in a firm that ran two ports on the canal.

A Hong Kong-based company has agreed to sell most of its stake in two key ports on the Panama Canal to a group led by US investment firm BlackRock. The sale comes after weeks of complaining by President Donald Trump that the canal is under Chinese control and that the US should take control of the major shipping route.