FX.co ★ China Stocks Slip Amid Disappointing Data

The Shanghai Composite Index experienced a slight dip of 0.1%, settling at approximately 4,025, while the Shenzhen Component Index decreased by 0.7%, reaching 13,385 on Friday. This decline pared the gains achieved in the prior session, primarily due to fresh economic data from China that indicated subdued consumer demand and an escalating slowdown in the property sector. Specifically, fixed asset investment, which encompasses real estate, fell by 1.7% over the first ten months of the year, a steeper drop compared to the 0.5% decrease observed in September, marking the second contraction since August 2020. Additionally, both industrial production and retail sales saw a slowdown in October, pointing toward a deceleration in economic activity. Notable losses were recorded among key firms, including Gigadevice Semiconductor with a 7.3% decrease, Zhongji Innolight at 2.2%, Shannon Semiconductor down by 5.5%, Eoptolink Technology slipping 3%, and Cambricon Technologies declining by 1.4%. Simultaneously, Wu Qing, the head of China’s securities regulatory body, has sought approval for his resignation.