The China stock market on Thursday ended the two-day winning streak in which it had added almost 10 points or 0.4 percent. Now at an almost four-year low, the Shanghai Composite Index sits just above the 2,580-point plateau and it’s called to open lower again on Friday.
The global forecast for the Asian markets continues to be weak, thanks to concerns over global growth and interest rates – while tumbling crude oil prices add to the soft sentiment. The European and U.S. markets were firmly lower and the Asian bourses are expected to follow suit.
The SCI finished sharply lower on Thursday following losses from the financials, properties and resource stocks, among others.
For the day, the index plunged 142.38 points or 5.22 percent to finish at 2,583.46 after trading between 2,560.32 and 2,661.29. The Shenzhen Composite Index tumbled 89.15 points or 6.45 percent to end at 1,293.90
Among the actives, Bank of China shed 2.78 percent, while Industrial and Commercial Bank of China lost 2.70 percent, China Merchants Bank skidded 3.89 percent, China life Insurance dropped 3.31 percent, China Construction Bank retreated 3.75 percent, China Petroleum and Chemical (Sinopec) tumbled 4.05 percent, PetroChina plunged 5.36 percent, China Shenhua Energy declined 4.75 percent, Jiangxi Copper plummeted 6.63 percent, Aluminum Corporation of China (Chalco) tumbled 7.85 percent, Yanzhou Coal fell 1.69 percent, Anhui Conch Cement slid 4.86 percent, Gemdale plunged 6.71 percent, China Vanke lost 3.77 percent and Poly Real Estate shed 3.26 percent.
The lead from Wall Street is negative as stocks opened lower on Thursday and showed wild swings before finishing firmly in the red.
The Dow shed 545.77 points or 2.13 percent to finish at 25,052.97, while the NASDAQ lost 92.99 points or 1.25 percent to 7,329.06 and the S&P fell 57.31 points or 2.06 percent to 2,728.37.