Stocks in China Hit 4-week Low

The Shangai Composite Index decreased 8 points or 0.20 percent on Tuesday to close at 4078 points. The decline was led by Avic Aviation Engine (-5.73%), Sanan Optoelectron (-5.30%) and BAIC BluePark (-3.64%). On the upside, the strongest performers were China Coal (6.29%), Poly Real Estate (4.33%) and Haier Smart Home (3.95%).

The Shanghai Composite fell 0.19% to close at 4,079 on Tuesday, while the Shenzhen Component dropped 1.1% to 14,830, as market sentiment was dampened by lingering uncertainties surrounding US–Iran diplomacy. US officials said President rump is wary of Iran’s latest proposal to reopen the Strait of Hormuz and de-escalate the ongoing conflict, pointing to what Washington views as Tehran’s continued unwillingness to meet key US demands. Tech stocks also weighed on the market, with Zhongji Innolight down 3.74% after China ordered Meta to unwind its acquisition of Manus AI, underscoring tighter AI oversight and technology leakage concerns. Meanwhile, Contemporary Amperex Technology fell 1.66% after announcing a $5 billion discounted share placement and signed a three-year sodium-ion battery deal with Beijing HyperStrong. Separately, the Politburo, one of the Communist Party’s highest decision-making bodies, pledged to bolster energy security and shield the economy from external shocks.

The Shangai Composite Index rose 8 points or 0.20 percent on Monday to close at 4088 points. Leading the gains are BAIC BluePark (3.78%), Yonghui Superstore (2.12%) and CITIC Securities (2.02%). Top losers were Hengli Petrochemical (-9.98%), Kweichow Moutai (-3.85%) and Shaanxi Coal (-3.19%).