SHANGHAI: China stocks closed up on Friday, capping their strongest monthly gain since September 2024, as abundant liquidity continues to drive the rally despite warnings from tech firms following recent price surges.
Hong Kong shares ended the week slightly lower.
China’s blue-chip CSI300 Index closed 0.7 percent higher, while the Shanghai Composite Index was up 0.4 percent. Hong Kong benchmark Hang Seng rose 0.3 percent.
For the month, the CSI300 Index was up 10 percent. The Hang Seng Index was down 1 percent this week and has risen 0.9 percent in August.
China’s recent market rally has been underpinned by abundant liquidity in a low-yield environment, alongside government efforts to curb aggressive price competition to boost inflation.
The daily turnover in onshore Chinese shares hovered around 3 trillion yuan (USD419.41 billion) this week, with the total turnover for August set to hit a record high.
China’s top economic planner will work with other departments to investigate and punish below-cost dumping, false propaganda and speed regulation of “disorderly competition” in some industries, its spokesperson, Li Chao, said on Friday.