Soft start expected for Chinese stock market
(RTTNews) – The Chinese stock market has climbed in two consecutive sessions, harvesting nearly 65 points or 2% along the way. The Shanghai Composite Index now sits just above the 3,225 plateau, although it is expected to open under pressure on Monday.
The overall forecast for Asian markets suggests consolidation, with weakness expected in the technology and oil sectors. European markets were down and US markets were mixed and little changed and Asian markets were listed to share the difference.
The SCI ended sharply higher on Friday after gains in financials, real estate and resource stocks, while energy producers were weak.
For the day, the index advanced 37.99 points or 1.19% to end at 3,227.03 after trading between 3,184.45 and 3,228.89. The Shenzhen Composite Index climbed 30.69 points or 1.44% to end at 2,166.01.
Among assets, Industrial and Commercial Bank of China collected 0.46%, while Bank of China rose 0.33%, China Construction Bank rose 0.73%, China Merchants Bank jumped 1.90 %, Bank of Communications added 0.66%, China Life Insurance fell 1.17%, Jiangxi Copper jumped 4.43%, Aluminum Corp of China (Chalco) jumped 2.05%, Yankuang Energy plunged 3.64%, PetroChina fell 0.39%, China Petroleum and Chemical (Sinopec) rose 0.25%, Huaneng Power lost 0.61%, China Shenhua Energy fell 1.16 %. %, Gemdale accelerated 1.86%, Poly Developments rose 0.20%, China Vanke strengthened 1.42% and China Fortune Land gained 1.07%.
Wall Street’s lead is mixed to lower as major averages opened deep in the red on Friday and rallied somewhat, although only the Dow Jones peeked into positive territory.
The Dow Jones added 76.67 points or 0.23% to end at 32,803.47, while the NASDAQ fell 63.04 points or 0.50% to end at 12,657.55 and the S&P 500 fell. fell 6.75 points or 0.16% to close at 4,145.19.
For the week, the NASDAQ jumped 2.2%, the S&P 0.4% and the Dow Jones 0.1%.
The volatility on Wall Street came as traders reacted to the Labor Department’s closely watched monthly jobs report – which showed US employment jumped much more than expected in July, raising concerns about interest rate outlook.
While the data paints a positive picture for the labor market, the report may also give confidence to the Federal Reserve that it can continue to aggressively raise interest rates without causing a recession.
Crude oil prices rose on Friday, buoyed by the jobs report, but still posted a weekly loss amid concerns about demand due to the economic slowdown. West Texas Intermediate crude oil futures for September ended up $0.47 or 0.5% at $89.01 a barrel.
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