Market slides on doubts over rebound

Source: Xinhua | 2017-07-11

SHANGHAI stocks dipped yesterday in a day of fluctuations reflecting investor nervousness about the sustainability of the recent rebound.

The benchmark Shanghai Composite Index closed down 0.17 percent at 3,212.63 points with turnover at 222.8 billion yuan (US$32.8 billion).

Steelmakers were among the gainers. Xinjiang Ba Yi Iron & Steel Co surged 8.6 percent and Maanshan Iron & Steel climbed 5.11 percent.

But trading sentiment was largely subdued as investors wait for the second-quarter gross domestic product figures to be released next week.

Financial shares showed mixed results. Bank of Construction was down 0.49 percent to 6.08 yuan and China Life Insurance retreated 1.17 percent to 27.12 yuan while Southwest Securities jumped 2.33 percent.

China’s consumer and factory gate inflation remained flat in June and in line with expectations, allowing more room for a relatively tight monetary stance. Stocks, including steel, non-ferrous metals, papermaking, and cement, have rebounded strongly recently.