A-shares Market Close: Shanghai Composite Index fluctuates with a slight decline; coal, wind power, and other energy sectors lead the gains

China’s A-share three major indexes fell across the board today. By the close, the Shanghai Composite Index was down 0.1%, the Shenzhen Component was down 0.63%, the ChiNext Index was down 0.96%, and the Northern Exchange 50 Index was down 1.12%. Total trading volume across the Shanghai and Shenzhen stock markets and the Beijing Stock Exchange amounted to 2,460.6 billion yuan, down 67.7 billion yuan from the previous day. More than 3,800 stocks across the three markets declined.

In terms of sectors and themes, coal mining and processing, wind power equipment, chemical fibers, power, coal chemical industry, steel, banking, and pork sectors led the gains. Military equipment, lab-grown diamonds, satellite navigation, dyes, commercial aerospace, and high-speed copper cable connection concept stocks led the declines. On the market, the ongoing escalation of the shipping crisis in the Strait of Hormuz kept intensifying. Coal and energy-chemical sectors strengthened early in the session, maintained gains after midday, and Huadian Energy notched a third consecutive daily limit-up. Zhengzhou Coal and Electric, Yankuang Energy, and Shaanxi Heimao all hit the daily limit. Besides traditional energy sectors, the wind power sector also surged after midday; Dajin Heavy Industry, Shuangyi Technology, and Delijia all moved to cap the board. The market expects turbulence in energy markets to drive wind power development in countries worldwide. Meanwhile, sectors such as chemical fibers, natural gas, and banking saw some intraday fluctuations.

On the other hand, most stocks in the commercial aerospace sector adjusted lower. All of A-share aerospace-related names such as United Thought, Far East Holding, and Aerospace Development fell sharply. The minor metals sector also pulled back, with Zhangyuan Tungsten, Western Materials, and Xianglu Tungsten leading the declines.