The Shanghai Composite fell 0.22% to close at 3,448 while the Shenzhen Component indexes lost 0.48% to 10,343 on Thursday, ending a three-day winning streak as investors weighed geopolitical developments and domestic policy signals. Sentiment was dampened by lingering uncertainty around China’s policy direction, despite Premier Li Qiang’s reassurances that Beijing is “strengthening macro policies, actively expanding domestic demand, and forcefully boosting consumption” to support economic growth.
Investors are now turning their attention to the upcoming July Politburo meeting for more concrete stimulus signals. Geopolitical tensions also remained in focus, though risks appeared to ease as the Iran-Israel ceasefire held and US-Iran talks were reportedly planned for next week—helping to stabilize expectations around global oil supply. Among notable decliners were East Money (-3.6%), Gotion High-Tech (-1.9%), BYD Company (-3.4%), Guotai Holdings (-4.3%), and Hithink Royalflush (-3%).
