The China stock market has climbed higher in nine consecutive trading days, advancing almost 145 points or 4.2 percent in that span. The Shanghai Composite Index now rests just above the 3,420-point plateau although investors may cash in on Thursday.
The global forecast for the Asian markets is soft thanks to expected profit taking, although support from crude oil prices will limit the downside. The European and U.S. markets were down and the Asian bourses figure to follow suit.
The SCI finished modestly higher on Wednesday as gains from the financials and oil companies were capped by weakness from the insurance stocks.
For the day, the index collected 7.93 points or 0.23 percent to finish at 3,421.83 after trading between 3,398.84 and 3,430.21. The Shenzhen Composite Index shed 6.52 points or 0.33 percent to end at 1,945.66.
Among the actives, Bank of China jumped 1.77 percent, while Industrial and Commercial Bank of China climbed 1.15 percent, Bank of Communications collected 0.64 percent, Agricultural Bank of China spiked 2.09 percent, China Life shed 0.43 percent, Ping An Insurance lost 0.21 percent, PetroChina soared 2.82 percent, China Petroleum and Chemical advanced 2.14 percent, China Vanke dipped 0.47 percent and Gemdale gathered 1.58 percent.
The lead from Wall Street is negative as stocks fell under pressure early Wednesday before rebounding from their worst levels of the day, although they still closed in negative territory.
The Dow dipped 16.67 points or 0.07 percent to 25,369.13, while the NASDAQ edged down 10.01 points or 0.14 percent to 7,153.57 and the S&P 500 eased 3.06 points or 0.11 percent to 2,748.23.
Profit taking contributed to the early weakness on Wall Street after the major averages again climbed to new record closing highs in the previous session.
Reports indicating that Chinese officials have recommended slowing or halting purchases of U.S. Treasuries also weighed on the markets.
In economic news, the Labor Department said import prices rose less than expected in December, and also noted an unexpected decrease in export prices. Also, the Commerce Department said wholesale inventories increased more than anticipated in November.
Crude oil futures continued to rise Wednesday, extending four-year highs amid further signs the global oil market is tightening. February West Texas Intermediate rose 61 cents or 1 percent to $63.57 a barrel on the New York Mercantile Exchange.
by RTT Staff Writer
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