The Shanghai Composite Index rose 0.32% to close at 4,063 on Wednesday, while the Shenzhen Component gained 1.05% to finish at 14,188, ending a four-day losing streak for mainland equities. The rebound was driven by renewed interest in technology and artificial intelligence stocks, which helped bolster overall risk appetite.
Sentiment was further supported by a pullback in oil prices after Iraq reached an agreement to resume crude exports through Turkey’s Ceyhan port, easing worries about potential supply disruptions linked to the conflict involving Iran. At the same time, China is preparing to draw on its sizable strategic oil reserves to cushion the impact of ongoing tensions in the Middle East, with domestic refiners expected to process up to 1 million barrels per day over the next four to six weeks.
Tech shares led the advance, with notable gains in Eoptolink Technology (+10.7%), Zhongji Innolight (+6.8%), Suzhou TFC Optical (+8.3%), Wus Printed Circuit (+6.3%), and Giga Device Semiconductor (+5.2%).
