The Shanghai Composite index saw a rise of 0.48%, concluding at 3,683, while the Shenzhen Component surged by 1.76% to reach 11,551 on Wednesday. Notably, the Shanghai Composite achieved its highest point since December 2021, a development fueled by the extension of a tariff truce between the United States and China, which has positively influenced market sentiment. US Treasury Secretary, Scott Bessent, announced on Tuesday that representatives from both countries would convene again in the coming two to three months to deliberate on the evolution of their economic relationship. Additionally, mainland Chinese equities mirrored the overnight gains on Wall Street following US inflation data, which strengthened the anticipation of a possible interest rate cut by the Federal Reserve in the forthcoming month.
In corporate developments, China Evergrande Group, known as the world’s most indebted property developer, disclosed its intention to delist from the Hong Kong Stock Exchange on Tuesday. Technology stocks were at the forefront of the market rally, with significant gains recorded by Eoptolink Technology, which rose by 15.5%, Zhongji Innolight with an 11.7% increase, and Foxconn Industrial, which appreciated by 10%.
