The Shangai Composite Index Closes 0.22% Lower

The Shangai Composite Index decreased 9 points or 0.22 percent on Tuesday to close at 4216 points. The decline was led by Shanghai Electric (-4.61%), Inner Mongolia BaoTou Steel (-3.82%) and Yonyou Soft (-3.80%). On the upside, the strongest performers were Datang Intl (10.02%), Jiangsu Hengrui (4.30%) and Sanan Optoelectron (3.62%).

The Shanghai Composite slipped 0.25% to close at 4,214 on Tuesday, while the Shenzhen Component Index fell 0.47% to 15,825, with both benchmarks retreating from multi-year highs as investors locked in profits ahead of a closely watched meeting between Presidents Donald Trump and Xi Jinping. Markets are hoping the talks will at least preserve the fragile US-China trade truce. The two leaders are also expected to discuss the Iran conflict and Taiwan. President Trump is scheduled to arrive in Beijing on Wednesday evening, while the US is expected to host Xi Jinping during a reciprocal visit later this year. Sentiment was further pressured by fading hopes for progress in US-Iran peace talks, as Trump said the ceasefire was on “massive life support” after Tehran’s rejection of a US-backed proposal aimed at ending the conflict. Notable decliners included Foxconn Industrial Internet (-2.2%), Contemporary Amperex Technology (-3.33%), Weichai Power (-2.48%), and Sungrow Power Supply (-2.91%).

The Shangai Composite Index rose 45 points or 1.08 percent on Monday to close at 4225 points. Leading the gains are Datang Intl (9.93%), Shanghai Electric (9.47%) and Sany Heavy Industry (6.38%).