Market

China tech stocks fall on gaming crackdown but resources shares jump on factory inflation

SHANGHAI: China stocks are mixed on Thursday, with technology shares dropping on Beijing’s fresh crackdown on gaming, but resources plays surging on accelerating factory inflation.

The Shanghai Composite Index gained 0.5% to 3,693.13 points, the highest closing level in six months. The blue-chip CSI300 index was little changed at 4,970.01 points.

Shanghai’s tech-focused STAR Market and Shenzhen’s start-up board ChiNext board fell.

Gaming and media stocks, including G-bits Network Technology and Perfect World Co tumbled, after authorities summoned gaming firms to ensure they implemented new rules for the sector. The CSI Media index dropped nearly 3%.

Stocks seen with links to “Metaverse”, a virtual shared space based on virtual reality technologies, also slumped, after their recent surge raised regulatory eyebrows and prompted state media to warn against investing in them.

Wondershare Technology and Wahlap Technology both slumped over 10%, while Goertek lost 9%.

But resources shares jumped to six-year highs after data showing China’s factory gate inflation hit a 13-year high in August, driven by roaring raw materials prices.

An index tracking energy stocks jumped 5.6% to the highest level in more than three years, while the CSI SWS Coal Index surged over 6%.

Most Related Links :
Business News Governmental News Finance News

Need Your Help Today. Your $1 can change life.

[charitable_donation_form campaign_id=57167]

Source link

Back to top button