FX.co ★ China Tech Stocks Extend Rally

The Shanghai Composite experienced a modest uptick of 0.15%, reaching 3,818, while the Shenzhen Component advanced by 1% to settle at 12,680 on Thursday. This progress was underpinned by gains in Chinese technology stocks, buoyed by enthusiasm regarding artificial intelligence and associated sectors. The sector was further emboldened by the performance of US tech giant Oracle, which saw a remarkable 36% surge on Wednesday, attributed to robust growth in cloud infrastructure driven by AI demand. Domestically, recent statistics indicated a 0.4% year-on-year decrease in China’s consumer prices for August, marking the most significant decline in six months. Simultaneously, producer prices fell by 2.9%, a moderation from July’s 3.6% drop, but this marked the 35th consecutive month of deflation. These figures provided limited insight into the economic outlook or potential for additional policy interventions. Among key performers, Eoptolink Technology rose by 6.4%, Zhongji Innolight by 7.6%, Foxconn Industrial by 8.6%, Victory Giant by 1.6%, and Cambricon Technologies by 1.9%.