The China stock market moved higher again on Wednesday, one session after it had ended the two-day winning streak in which it had climbed more than 50 points or 1.6 percent. The Shanghai Composite Index now rests just above the 3,300-point plateau although investors may lock in gains on Thursday
The global forecast for the Asian markets is murky following a U.S. rate hike that had largely been priced in. The European markets were down and the U.S. bourses were mixed and the Asian markets figure to split the difference.
The SCI finished modestly higher on Wednesday following gains from the financials, properties and insurance companies.
For the day, the index gained 22.23 points or 0.68 percent to finish at 3,303.04 after trading between 3,273.32 and 3,304.01. The Shenzhen Composite Index collected 14.68 points or 0.77 percent to end at 1,915.77.
Among the actives, Agricultural Bank of China collected 0.27 percent, while Bank of China added 0.52 percent, Industrial and Commercial Bank of China climbed 1.03 percent, China Life gained 0.29 percent, Ping An jumped 1.28 percent, PetroChina was up 0.12 percent, China Petroleum and Chemical (Sinopec) eased 0.17 percent, Vanke advanced 1.25 percent, Gemdale gathered 0.25 percent, Jiangxi Copper spiked 0.88 percent and Zijin Mining perked 0.78 percent.
The lead from Wall Street provides little clarity as stocks traded modestly higher for most of Wednesday, although the S&P 500 faded after the rate decision.
The Dow added 80.63 points or 0.33 percent to 24,585.43, while the NASDAQ gained 13.48 points or 0.20 percent to 6,875.80 and the S&P 500 eased 1.26 points or 0.05 percent to 2,662.85.
As expected, the Federal Reserve raised the benchmark U.S. interest rate to a range of 1.25 percent to 1.5 percent but struck a dovish tone on future rate hikes amid stubbornly low inflation.
It was the third rate hike of 0.25 percent in 2017. Crucially, the Fed maintained earlier forecast for just three quarter-point rate hikes in 2018.
In economic news, the Labor Department said consumer prices increased in line with forecasts in November. Core CPI came in slightly shy of expectations.
Crude oil futures fell Wednesday after the dollar strengthened following the Fed's rate hike. WTI light sweet crude oil lost 54 cents or 1 percent to settle at $56.60/bbl.
Closer to home, China will provide November numbers for retail sales, industrial production and fixed asset investment later this morning.
Retail sales are expected to rise 10.3 percent on year after climbing 10.0 percent in October. Output is called steady at 6.2 percent on year, while FAI is expected to slow to 6.6 percent from 6.7 percent in the previous month.
by RTT Staff Writer
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