FX.co ★ China Stocks Drop for 3rd Straight Session

The Shanghai Composite Index experienced a slight decline of 0.2%, settling at approximately 3,280, while the Shenzhen Component also decreased by 0.2%, closing at 9,835 on Tuesday. This marks the third consecutive day of losses for mainland markets, driven by ongoing uncertainty surrounding Sino-US trade relations. The Chinese government has reiterated that no trade discussions are currently underway with the United States, despite recent claims by President Donald Trump in an interview with Time that suggested otherwise. In addition, US Treasury Secretary Scott Bessent asserted that it is incumbent upon China to ease these tensions, highlighting the imbalance in trade, where China exports significantly more to the US than it imports. Further contributing to the market's cautious sentiment, Beijing expressed confidence in achieving its annual growth target of approximately 5%, yet opted not to introduce any new economic stimulus measures in a press briefing held on Monday. Consequently, several companies experienced notable declines: Lakala Payment fell by 4.3%, CSPC Innovation saw a steep drop of 13.6%, and Shenzhen Megmeet decreased by 7.1%.