HONG KONG, – China and Hong Kong stocks edged up on Thursday as chip makers and artificial intelligence-related sectors continued their rebound, while developer Vanke’s debt woes triggered a property shares selloff that dragged on the market.
** At the midday break, the Shanghai Composite index was up 0.5% at 3,883.01, the blue-chip CSI300 index was up 0.3%.
** The CSI Semiconductor Index and the CSI AI Index both gained roughly 1%, extending recent gains.
** AI chip maker Cambricon Technologies rallied as much as 5.6% to a two-week high, while SMIC jumped as much as 3.6%.
** Optimism towards domestic AI sectors flared up again after The Information reported that the regulators have barred TikTok owner ByteDance from deploying Nvidia chips in new data centers.
** ” China is going all-in to win its version of the AI race,” analysts at Macquarie said in a note, adding that there could be more extended and accelerated infrastructure policy push supporting the sector.
** Dragging down the markets, shares of China Vanke tumbled as much as 8.8%, after the company said it was seeking to delay an onshore bond repayment for the first time.
** China’s CSI 300 real estate index slid as much as 4.5% to the lowest since Sept 2024 on the Vanke woes, before closing down 1.5% at midday break.
** In Hong Kong, the benchmark Hang Seng Index climbed 0.3%, while the Hang Seng Mainland Property Index was flat after losing as much as 2%.
** On the data front, China’s industrial profits fell in October after two months of growth, as businesses continued to grapple with lacklustre domestic demand and an export downturn.
** Elsewhere, Beijing announced a new plan to boost consumption in the world’s second-largest economy, detailing measures that include promoting upgrades of consumer goods in rural areas and sectors such as pets and toys.
This article was generated from an automated news agency feed without modifications to text.