The Shangai Composite Index Closes 1.34% Higher

The Shanghai Composite rose 0.2% to 3,974 on Wednesday, while the Shenzhen Component slipped 0.3% to 14,891, as investors weighed signs of an uneven economic recovery in China. GDP growth slowed to 4.3% year-on-year in the second quarter from 5.0% in Q1, missing market expectations of 4.5%. It marked the weakest expansion since Q4 2022 and below the government's 2026 target range of 4.5%–5.0%. Moreover, fixed-asset investment dropped 5.7% year-on-year in the first half, worse than the expected 4.9% decline and the 4.1% fall recorded in the January–May period. On a positive note, industrial production accelerated to a three-month high of 5.3% in June, while retail sales unexpectedly rebounded to 1%. In addition, the urban unemployment rate fell to a one-year low of 5.0%. Financial stocks underperformed, led by Industrial and Commercial Bank of China (-0.9%), Agricultural Bank of China (-1.3%), and China Construction Bank (-1.9%).

The Shangai Composite Index rose 52 points or 1.34 percent on Tuesday to close at 3966 points. Leading the gains are Aluminum Corporation of China (8.26%), China Molybdenum (6.46%) and Zijin Mining (5.88%).

SHANGHAI 50 decreased to 2887.00 Index Points, the lowest since June 2026. Over the past 4 weeks, Shanghai 50 lost 1.57%, and in the last 12 months, it increased 5.29%.