China stocks fall on return from holiday; Shanghai index at two-month low
Chinese mainland stock markets fell on their return from the National Day holiday, with the Shanghai composite index hitting a two-month closing low. AI hardware stocks led declines, while banks and energy shares rose.
Chinese mainland stock markets fell sharply on 8 October, the first trading day after the National Day holiday, with the Shanghai composite index dropping to its lowest close in more than two months. The three major indexes lost between nearly 1 per cent and more than 3 per cent.
The Shanghai composite index initially rose about 0.6 per cent in early trading but came under significant pressure in the afternoon, falling more than 1 per cent at one point. It closed at 3,811 points, down 30 points, a decline of nearly 0.8 per cent, marking a more than two-month closing low.
The Shenzhen component index and the ChiNext board both hit more than 10-month lows. The Shenzhen component index closed at 12,620 points, down 266 points, a drop of about 2.1 per cent. The ChiNext board ended at 3,036 points, down 98 points, a fall of more than 3.1 per cent.
Sectors related to artificial intelligence hardware, including semiconductors and CPO (co-packaged optics), faced heavy selling pressure. In contrast, coal, oil, banking, power, and port and shipping stocks performed well. Bank of China and Industrial and Commercial Bank of China saw their A-shares hit intraday highs.