The Shanghai Composite slipped 0.3% to around 4,120, while the Shenzhen Component fell 0.6% to 14,200 on Friday, erasing gains from the previous session as a global equity selloff weighed on local markets. Sentiment was pressured by mounting concerns over the impact of artificial intelligence on sectors such as logistics, commercial real estate, and finance.
Tech stocks led the decline, with Suzhou TFC down 5%, BlueFocus Intelligent losing 2.1%, and Beijing Jetsen Technology plunging 11%. Mining counters also retreated in line with weaker metals prices, including Zijin Mining (-3%) and China Northern Rare Earth (-3.3%).
On the policy front, Premier Li Qiang on Wednesday called for a broad-based push in technological innovation and AI applications, urging breakthroughs across the full AI industry chain to unlock the sector’s potential. On the economic side, new home prices in China fell in January at their fastest pace in seven months, underscoring the deepening crisis in the property sector.
