The Chinese stock market experienced a decline for the third consecutive session, dropping nearly 120 points or 3.7%. As a result, the Shanghai Composite is resting just under the 3,325-point mark, but indications suggest potential support forthcoming on Tuesday. The global outlook for Asian markets is tentatively positive, with predictions that technology and oil stocks will prove particularly buoyant. Both European and U.S. markets demonstrated mostly positive trends, suggesting Asian markets may follow suit with an upward opening. On Monday, the SCI recorded a modest decrease as losses in resource stocks were somewhat compensated by gains in financial and property sectors. The index fell by 6.88 points or 0.21% to close at 3,323.85 after fluctuating in the range of 3,309.01 to 3,386.90. Meanwhile, the Shenzhen Composite Index dropped 43.83 points or 2.18%, settling at 1,966.78.
Among active stocks, Industrial and Commercial Bank of China saw an increase of 2.31%, Bank of China rose by 2.88%, and China Construction Bank edged up by 1.01%. Additionally, China Merchants Bank increased by 0.21%, Agricultural Bank of China gained 2.13%, and China Life Insurance inched up by 0.09%. Conversely, Jiangxi Copper dipped by 0.23%, while Aluminum Corp of China (Chalco) fell by 2.26%. On the positive side, Yankuang Energy rose by 0.58%, PetroChina and China Vanke each gained 1.49%, China Petroleum and Chemical (Sinopec) increased by 0.63%, Huaneng Power added 1.40%, China Shenhua Energy surged 3.21%, Gemdale rose 1.90%, and Poly Developments saw an uptick of 0.69%.
Wall Street's performance pointed to slight gains, as major averages opened on varying sides and remained within a narrow range before concluding mixed. The Dow Jones Industrial Average diminished by 55.39 points or 0.13% to settle at 43,389.60. In contrast, the NASDAQ rose by 111.69 points or 0.60%, finishing at 18,791.81, while the S&P 500 increased by 23.00 points or 0.39% to end at 5,893.62. The upward trend on Wall Street was largely driven by bargain hunters seeking to acquire stocks at lower valuations following the previous week's significant drop amid interest rate concerns.
In U.S. economic developments, the National Association of Home Builders reported a notable improvement in homebuilder confidence for November, reaching its highest point since April. Oil prices experienced an upward movement on Monday due to concerns about potential supply shortages resulting from the ongoing Russia-Ukraine conflict, in addition to support from a weaker dollar. West Texas Intermediate Crude oil futures for December concluded at $69.16 per barrel, marking a rise of $2.14 or 3.2%.
