FX.co ★ China Tech Stocks Extend Gains

On Thursday, the Shanghai Composite experienced a marginal decline of 0.01% to close at 3,853, while the Shenzhen Component saw a notable rise of 0.67%, reaching 13,446. This marks the Shenzhen's highest point since February 2022, driven by robust performances in high-growth technology sectors. The market sentiment was buoyed by China's ongoing advancements in artificial intelligence, boosted further by Alibaba's announcement of plans to establish new data centers in Brazil, France, and the Netherlands to facilitate its global AI expansion. Additionally, there were optimistic expectations regarding a potential easing of US-China trade tensions, although trading activity was subdued as investors anticipated the upcoming National Day holiday. The rally was predominantly led by technology and new energy stocks, with significant gains posted by companies such as Zhongji Innolight (up 2.6%), Eoptolink Technology (up 6%), Hygon Information Technology (up 3.1%), Contemporary Amperex (up 3.4%), and Sungrow Power (up 3.7%).