2025.09.1207:24:29UTC+00China Stocks Ease on Profit-Taking

The Shanghai Composite Index experienced a modest decline of 0.12%, closing at 3,871, while the Shenzhen Component fell by 0.43% to 12,924 on Friday. This downturn marks a reversal from early gains and diverges from the global equity rally, as investors opted to capitalize on recent profits. Chinese mainland stocks have recently reached multi-year highs fueled by optimism in artificial intelligence and related technologies. Contributing factors to the recent surge include substantial fund inflows, an increase in retail investor participation, and heightened margin financing activities. Looking forward, investors are preparing for a series of critical economic data releases in the coming week. These will encompass industrial production, retail sales, fixed asset investments, unemployment rates, and housing price statistics, offering new insights into the current state of the Chinese economy. Among individual stocks, significant declines were observed in Eoptolink Technology (-5.8%), Zhongji Innolight (-4.1%), and Wuxi Lead Intelligent (-8.9%).