Views Article – Sharenet Wealth

Asia, News

China shares slip on Sino-U.S. tensions; consumer, healthcare stocks drag

* SSEC -0.38%, CSI300 -0.88%, HSI -1.63%

* Consumer firms weigh, losses led by distillers

* Trump administration stepping up efforts to ‘purge’ Chinese apps

SHANGHAI, Aug 6 (Reuters) – China shares fell on Thursday, dragged down by consumer and healthcare firms, due to profit booking after four days of gains and as tensions between Washington and Beijing escalated further over a U.S. move to purge “untrusted” Chinese apps. ** At the midday break, the Shanghai Composite index was down 0.38% at 3,364.79, after rising 2.6% over the previous four sessions. The blue-chip CSI300 index was down 0.88%. ** A sub-index tracking health care firms fell 2.49%. Consumer staples firms dropped 1.81% as large liquor makers, which have posted strong gains since March, pulled back. ** Kweichow Moutai Co Ltd fell 1.68%, Wuliangye Yibin Co Ltd dropped 2.68% and Shanxi Xinghuacun Fen Wine Factory Co Ltd fell 4.26%. ** U.S. President Donald Trump’s administration said on Wednesday it was stepping up efforts to purge “untrusted” Chinese apps from U.S. digital networks and called the Chinese-owned short-video app TikTok and messenger app WeChat “significant threats”. ** In Hong Kong, Hang Seng Index heavyweight Tencent Holdings , WeChat’s developer dropped 2.67%, weighing on the broader index. ** Chinese H-shares listed in Hong Kong fell 1.38% to 10,115.26, while the Hang Seng Index was down 1.63% at 24,692.59. ** The smaller Shenzhen index was down 0.92%, the start-up board ChiNext Composite index was weaker by 1.7% and Shanghai’s tech-focused STAR50 index was down 1.12%​. ** Around the region, MSCI’s Asia ex-Japan stock index was weaker by 0.03% while Japan’s Nikkei index was down 0.49%. ** The yuan was quoted at 6.942 per U.S. dollar, 0.1% weaker than the previous close of 6.935. ** So far this year, the Shanghai stock index is up 10.74%, while China’s H-share index is down 8.2%. Shanghai stocks have risen 2.04% this month. (Reporting by Andrew Galbraith; Editing by Rashmi Aich)


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