The China stock market on Thursday wrote a finish to the seven-day winning streak in which it had advanced more than 140 points or 4.4 percent. The Shanghai Composite Index now rests just beneath the 3,550-point plateau and the market may extend its losses on Friday.
The global forecast for the Asian markets is mixed and flat thanks to inconsistent economic data and a mild drop in crude oil prices. The European markets were down and the U.S. bourses were mixed but little changed - and the Asian markets figure to follow the latter lead.
The SCI finished modestly lower on Thursday following losses from the financials, insurance companies, properties and oil markers.
For the day, the index dipped 11.16 points or 0.31 percent to finish at 3,548.31 after trading between 3,528.03 and 3,571.48. The Shenzhen Composite Index slid 7.63 points or 0.39 percent to end at 1,953.30.
Among the actives, Bank of China skidded 1.28 percent, while Industrial and Commercial Bank of China shed 0.68 percent, Agricultural Bank of China collected 0.22 percent, Bank of Communications lost 0.71 percent, China Life plummeted 2.07 percent, Ping An Insurance tumbled 1.50 percent, PetroChina dropped 0.86 percent, China Petroleum and Chemical (Sinopec) fell 0.96 percent, China Vanke plunged 2.26 percent and Gemdale retreated 2.61 percent.
The lead from Wall Street offers little clarity as stocks were mixed again on Thursday as the Dow and the S&P 500 hit new record closing highs, but the tech-heavy NASDAQ ended in the red.
The Dow added 140.67 points or 0.54 percent to 26,392.79, while the NASDAQ fell 3.89 points or 0.05 percent to 7,411.16 and the S&P 500 gained 1.71 points or 0.06 percent to 2,839.25.
Stocks opened higher thanks to upbeat earnings news as several big-name companies beat estimates, including 3M (MMM) and Caterpillar (CAT).
In economic news, the Commerce Department noted a steep drop in new home sales in December and the Labor Department said initial jobless claims bounced off their lowest level in nearly 45 years in the week ended January 20. Also, the Conference Board reported a bigger than expected increase by its index of leading economic indicators.
Crude oil futures were flat Thursday, hovering near Wednesday's three-year highs. The dollar steadied after three-year lows, prompting some profit taking after a furious rally for most commodities. March WTI oil falls 10 cents or 0.2 percent to $65.51/bbl.
by RTT Staff Writer
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