The Shanghai Composite held above 4,160 on Monday, consolidating last week’s gains as investors positioned themselves ahead of the annual parliamentary meetings, where policymakers are expected to set new economic targets and outline key policy priorities. China’s annual “Two Sessions” will be held from March 4 to around March 11, during which the government is also expected to unveil its 15th Five-Year Plan, setting out strategic objectives for 2026–2030.
In contrast, the tech-heavy Shenzhen Component fell 1.4% to around 14,300, erasing last week’s advance and tracking a global selloff in risk assets amid escalating tensions in the Middle East. Over the weekend, the US and Israel conducted military strikes on Iran that resulted in the death of Iran’s Supreme Leader, Ayatollah Ali Khamenei, and effectively shut the Strait of Hormuz.
In corporate news, the chairman of Chinese liquor giant Wuliangye Yibin was placed in detention, although authorities have not disclosed details of the case.
