The Shanghai Composite slipped 0.3% to 4,204 on Wednesday, while the Shenzhen Component eased 0.2% to 15,799, extending the previous session’s losses as technology shares came under broad pressure ahead of the closely watched Trump–Xi summit. Hygon Information Technology dropped 4.6%, Zhongji Innolight fell 1.4%, NAURA Technology Group declined 3%, and Huagong Tech lost 3.4%, as sector sentiment weakened following reports that South Korea is considering a universal dividend linked to recent gains in AI infrastructure stocks, stoking concerns about stretched valuations across the industry.
At the same time, investors are focused on the high‑stakes meeting between U.S. President Donald Trump and Chinese President Xi Jinping on May 14–15, where a wide array of sensitive issues is expected to be discussed. Trump has signaled that trade will remain the centerpiece of the talks, dampening expectations that the conflict in the Middle East will dominate the agenda.
