HONG KONG: China stocks on Thursday posted their steepest one-day decline since April, as sluggish factory data and the Politburo’s lack of stimulus signals weighed on sentiment.
At the market close, the Shanghai Composite Index was down 1.2% to 3,573.21 and the blue-chip CSI300 index was off 1.8%, both marking their biggest single-day drops since April 7.
The pullback broke a rally that had briefly carried the Shanghai index into bull territory. Still, the benchmark advanced 3.7% in July, its best performance since September last year and a third straight month of gains.
A much-anticipated Politburo meeting this week offered little policy surprise, as top leaders pledged to support the economy by managing “disorderly competition” but showed no sense of urgency to roll out major stimulus.
Meanwhile, fresh data showed China’s manufacturing activity shrank for a fourth straight month in July as demand at home and abroad weakened, further dampening the growth outlook.
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