The rally could stagnate for the Chinese stock market


(RTTNews) – The Chinese stock market has finished higher in two consecutive sessions, rising more than 60 points or 1.7% along the way. The Shanghai Composite Index is now just below the 3,150-point plateau, although it could run out of steam on Monday.

The global forecast for Asian markets is flat or slightly higher, with support from oil stocks capped by weakness in tech stocks. European markets were slightly higher and US markets were mixed and little changed and Asian markets figured to share the difference.

SCI ended sharply higher on Friday after gains in financials, energy and resource stocks, while properties were soft.

For the day, the index climbed 49.60 points or 1.60% to end at the daily high of 3,146.57 after trading at 3,107.09. The Shenzhen Composite Index jumped 30.97 points or 1.59% to end at 1,983.67.

Among assets, Industrial and Commercial Bank of China collected 0.43%, while Bank of China rose 0.31%, China Construction Bank added 0.34%, China Merchants Bank jumped 5.07% , Bank of Communications gained 0.61%, China Life Insurance strengthened 1.63%, Jiangxi Copper climbed 4.13%, Aluminum Corp of China (Chalco) soared 9.98%, Yankuang Energy climbed 4.59%, PetroChina climbed 1.56%, China Petroleum and Chemical (Sinopec) rose 0.70%, Huaneng Power jumped 1.65%, China Shenhua Energy rose 4, 46%. %, Gemdale fell 2.20%, Poly Developments fell 0.87%, China Vanke fell 1.82%, China Fortune Land fell 1.92% and Beijing Capital Development fell 1. 14%.

Wall Street offers little guidance as major averages opened higher on Friday, quickly dipped into the red before rallying to finish mixed and little changed.

The Dow Jones added 8.77 points or 0.03% to end at 31,261.90, while the NASDAQ fell 33.88 points or 0.30% to close at 11,354.62 and the S&P 500 rose 0.57 points or 0.01% to end at 3,901.36.

For the week, the NASDAQ plunged 3.8%, the S&P fell 3% and the Dow lost 2.9%.

The prolonged volatility on Wall Street came as traders continued to debate when markets would bottom after recent weakness.

The S&P 500 is down more than 20% from January’s closing high, which is seen as a signal for a bear market.

Crude oil futures settled higher on Friday, lifted by the proposed EU ban on Russian oil and the easing of Covid lockdowns in China. West Texas Intermediate crude oil futures for July added $0.39 or 0.4% to $110.28 a barrel.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


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