China Stocks Slip as Policy Cues Eyed
China stocks fell as investors await policy signals from upcoming high-level meetings. The Shanghai Composite dropped 0.1% and the Shenzhen Component fell 0.15%. Economists expect China to maintain a 5% growth target for 2026, with fiscal and monetary stimulus options open amid deflation concerns. Notable losses were seen in firms like Zhongji Innolight, Shenzhen H&T Intelligent, and Victory Giant.
The Shanghai Composite fell 0.1% to around 3,870, while the Shenzhen Component dropped 0.15% to 12,985 on Friday, with mainland stocks set to end the week lower as investors awaited policy signals from high-level meetings this month.
Markets are focused on the annual Central Economic Work Conference and the December Politburo meeting for guidance on Beijing’s policy direction and growth targets for next year.
Economists expect China to maintain its “around 5%” annual growth target for 2026 while keeping fiscal and monetary stimulus options open amid persistent deflation concerns.
Notable losses were reported among heavyweight firms, including Zhongji Innolight (-1.4%), Zhejiang Sanhua (-0.7%), Shenzhen H&T Intelligent (-9.2%), Victory Giant (-9.2%), and Foxconn Industrial (-0.5%).
