SINGAPORE: Chinese stock markets fell on Wednesday, with shares in energy companies leading losses as they tracked falling oil prices, though slightly slimmer chances of Republican candidate Donald Trump winning the US presidency boosted exporters’ shares.
At the close, the Shanghai Composite index was down 0.82% at 2,721.80. Hong Kong’s Hang Seng closed 0.7% lower at 17,108.71.
China’s blue-chip CSI300 index fell 0.3%, with its financial sector sub-index lower by 1.3%, and the oil and gas industry sub-index shedding 1.7%. The electric vehicle index rose 3.3%.
Betting markets shortened odds of Democrat Kamala Harris winning the US presidency following a combative televised debate, and traders sold dollars and bought yuan with the risk of punitive tariffs on Chinese goods seen slightly reduced.
The largest percentage gainers in the Shanghai Composite index were solar firm GoodWe Technologies, up 12.5%, and Jinzhou Yongshan Lithium, gaining 10.1%, as lithium producers were bought on an unconfirmed report of battery-maker CATL suspending some mining.
A bounce in Wuxi Apptec, pummelled recently by restrictions working their way through US Congress but up 7% following a buyback announcement, led gains in Hong Kong that also included EV makers BYD and Geely.
However oil has dropped below $70 a barrel to trade near three-year lows and pulled down big energy companies and the indexes.
China Resources Power Holdings, which fell 5.7%, was the top loser on the Hang Seng, with PetroChina down 1.4%, CNOOC down 2.3% and Sinopec down 3%.
China’s weak economic outlook also put consumer stocks such as sports gear seller Li Ning Co Ltd, down 4.1%, and large financials such as ICBC and Bank of China among the losers and at reasonably solid volumes.
The yuan was quoted at 7.1131 per US dollar, 0.1% firmer than the previous close of 7.12 and Hong Kong interbank rates fell.
Source: Brecorder
