China stocks edge up, helped by farming and energy shares as tech drops
- China’s large-cap CSI 300 Index was up 0.1% by the lunch break
SHANGHAI: China stocks edged up on Tuesday as farming, energy and gold stocks offset weakness in tech shares, while Hong Kong stocks fell amid rising Middle East tensions.
China’s large-cap CSI 300 Index was up 0.1% by the lunch break, while the Shanghai Composite Index climbed 0.4%.
Both indexes have stabilised recently after a mid-year sell-off wiped off this year’s gains.
In Hong Kong, which is more vulnerable to global sentiment, the Hang Seng Index lost 0.3%.
China’s agriculture-related shares rose about 4.6% after the central government unveiled a plan to bolster funding for rural revitalisation. Energy shares also climbed as heightened tensions in the Middle East pushed up oil prices.
On Tuesday, Iran threatened the United States with “economic warfare” and said it had fired an advanced missile at the US Traders are closely monitoring the upcoming US inflation data that could shape expectations for the Federal Reserve’s next policy move. Meanwhile, China’s gold stocks rose as the yellow metal gained ground, while the US dollar slipped.
“The structural forces supporting gold prices remain firmly in place,” James Luke, portfolio manager at Schroders said in a note, citing mounting US fiscal pressure.
But tech stocks in both China and Hong Kong fell following Monday’s rebound.
Computer, information security, new energy and chipmaking shares were among the biggest losers in China, falling roughly roughly 1% each.‑Reuters