The Shanghai Composite edged up 0.1% to above 4,110 on Friday, while the Shenzhen Component advanced 0.4% to 14,140, extending the previous session’s gains as investors assessed China’s latest economic outlook. Beijing set a GDP growth target of 4.5%–5% for 2026, the lowest since records began in the early 1990s, reflecting persistent deflationary pressures and the drag from elevated US tariffs.
Even so, the main indices remained on course to end the week lower as escalating tensions in the Middle East rattled global markets. The US–Israeli offensive against Iran has entered its seventh day, and Tehran has launched a new wave of missile and drone attacks across the Gulf. A sharp rise in oil prices, which has reignited inflation concerns, further weighed on equities worldwide, with China seen as particularly vulnerable given its heavy dependence on Middle Eastern energy supplies.
Among the standout gainers on Friday were China XD (up 6.4%), Addsino Co (3.9%), Biwin Storage (5.8%), GCL System (10%), and Dongfang Electric (5.2%).
