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China, HK Stocks Drop On COVID Flare-ups; Energy Shares Tumble

RaeHawken60777642 2022.07.07 10:33 조회 수 : 1

SHANGHAI, July 6 (Reuters) - China and Hong Kong stocks dropped on Wednesday as the country continued to grapple with COVID-19 flare-ups, while energy shares tracked a sell-off in the global oil market.

** The blue-chip CSI300 Index lost 1.3% by the lunch break, while the Shanghai Composite Index also fell 1.3%.
In Hong Kong, benchmark Hang Seng Index weakened 1.4%.

** China is fighting a COVID-19 resurgence on multiple fronts across the country including an emerging cluster in Shanghai, spurring mass testing drives and fresh restrictions.

** Shanghai, which lifted its two-month lockdown in early-June, is testing all residents in nine of its 16 districts from Tuesday to Thursday as well as those in parts of three other districts.

** "The flare-ups in places like Shanghai and Anhui contributed to the stock market weakness," said Zhiwei Zhang, president and chief economist at Pinpoint Asset Management.

** However, he pointed that the market had expected possible increase in infections, slot gacor gampang menang so there're no signs of panic-selling.

** Zhang also predicted higher volatility ahead as the pace of China's economic recovery will likely slow.

** Energy shares tumbled more than 5% in both China and Hong Kong, after a slump in global oil prices amid fears of economic recession.

** Most sectors fell in both markets.

** China's property shares dropped 3.6%, while resources shares fell 2.9%.

** Tech shares were the only bright spot on the mainland, with the tech-focused STAR50 Index rising 1.3%, led by chipmakers.

(Reporting by Shanghai Newsroom; editing by Uttaresh.V)

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