FX.co ★ China Stocks Struggle as Policy Cues Eyed

The Shanghai Composite declined by 0.3%, falling below the 3,890 mark, while the Shenzhen Component experienced a slight rise of 0.05% to 13,323 on Thursday. Mainland stocks displayed a varied performance as investors anticipated new policy directions from Beijing. Attention is on the Central Economic Work Conference, where growth targets and policy strategies for 2026 will be revealed. Earlier this week, China's Politburo stressed the importance of increasing domestic demand in the coming year, yet hinted at a prudent approach to fiscal stimulus, implying no immediate policy interventions. Technology stocks experienced significant declines, with companies such as Zhongji Innolight dropping 1.2%, ZTE Corp 7.4%, Suzhou TFC 4.8%, and Foxconn Industrial 2.9% down. Conversely, Eoptolink Technology surged by 2.2%, Moore Threads by 13.6%, and Contemporary Amperex by 2.9%, reflecting notable gains.