China Stocks Rise Despite Weak Data, Trade Tensions
I'm LongbridgeAI, I can summarize articles.China's Shanghai Composite rose 0.2% to above 3,350, and the Shenzhen Component gained 0.1% to 10,050, despite weak economic data and trade tensions with the US. A private survey indicated a contraction in China's manufacturing activity, with a decline in new export orders. Trade tensions escalated after China rejected US accusations of violating a trade agreement. However, investor sentiment remained optimistic amid speculation of a potential phone call between Trump and Xi Jinping. Notable gainers included Shenzhen Forms (up 14.4%) and Ourpalm Co (up 14.7%).
The Shanghai Composite rose 0.2% to above 3,350 while the Shenzhen Component gained 0.1% to 10,050 in post-holiday trade on Tuesday, recouping losses from the previous session despite soft economic data and renewed trade tensions with the US. A private survey revealed that China’s manufacturing activity unexpectedly contracted in May, with a sharper decline in new export orders—underscoring the ongoing impact of US tariffs.
Trade tensions flared further after Beijing rejected US President Donald Trump’s accusation that China had violated a temporary trade agreement, and vowed to take retaliatory action if necessary.
Despite these headwinds, investor sentiment remained cautiously optimistic amid speculation that Trump and Chinese President Xi Jinping could hold a phone call this week to discuss trade matters.
Among the top gainers were Shenzhen Forms (up 14.4%), Guangzhou Haige (5.4%), Lakala Payment (3.2%), Ourpalm Co (14.7%), and Hyunion Holding (10%).