China Stocks Mixed as Diplomacy Hopes Fade
2026-07-22 02:01
By
Czyrill Jean Coloma
1 min. read
The Shanghai Composite fell 0.6% to 3,840 on Wednesday, while the Shenzhen Component rose 0.4% to 14,323, reflecting a mixed market mood as hopes for renewed US-Iran diplomatic engagement faded.
While US forces carried out an 11th consecutive day of strikes against Iran to curb threats to shipping through the Strait of Hormuz, President Donald Trump said Tehran desperately wants to meet but that Washington had no interest in talks, a claim Iran swiftly rejected.
Adding to the cautious mood, Chinese technology stocks resumed their decline after a strong rebound in the previous session, despite fresh measures by authorities to stabilize the sector.
These included record inflows into the ChinaAMC STAR 50 ETF and increased equity investments by China Life, PICC, and Ping An.
Among the biggest drags were Cambricon Technologies (-2.2%), Zhongji Innolight (-2.3%), and Eoptolink Technology (-2.1%).
In contrast, energy stocks outperformed, with PetroChina gaining 1.0% and CNOOC climbing 2.4%.