China stocks mixed as investors wary of Evergrande woes, power crunch

China stocks were a mixed bag on Wednesday, with coal miners falling and consumer stocks gaining, as Evergrande's woes and a domestic power crunch continue to haunt the market. ** Hong Kong markets were suspended from trading due to a typhoon. ** The CSI300 Real Estate Index dropped 1.6% amid signs Evergrande's debt crisis is rippling through the industry, hitting more Chinese developers.


Reuters | Shanghai | Updated: 13-10-2021 10:07 IST | Created: 13-10-2021 10:06 IST
China stocks mixed as investors wary of Evergrande woes, power crunch
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China stocks were a mixed bag on Wednesday, with coal miners falling and consumer stocks gaining, as Evergrande's woes and a domestic power crunch continue to haunt the market. ** Better-than-expected domestic trade data helped offset concerns of slowing growth after the International Monetary Fund (IMF) trimmed China's 2021 growth forecast by 0.1 points, citing a faster-than-expected scaleback of public investment spending.

** China's blue-chip CSI300 index rose 0.3% in morning trade, but the Shanghai Composite Index fell 0.4%. ** Hong Kong markets were suspended from trading due to a typhoon.

** The CSI300 Real Estate Index dropped 1.6% amid signs Evergrande's debt crisis is rippling through the industry, hitting more Chinese developers. ** "Evergrande's debt issue has put China's property sector in the spotlight again," said Zhang Xiaodong, fund manager of Schroders' Shanghai asset management subsidiary.

** "China's power shortage is also in focus, and is dealing a blow to the market," Zhang said, predicting short-term economic headwinds. ** China's coal subindex tumbled roughly 7% to its lowest level in six weeks on signs the government is taking measures to boost supply, potentially cooling prices.

** Hengyuan Coal, Tianan Coal, and Huolinhe Coal plunged 10%, the most allowed within a trading day. ** Coal shares, which had jumped on record prices of the fuel, is down roughly 20% from their Sept. 6 peak.

** China's energy index also plunged, down nearly 6% by midday. Oil giant PetroChina dropped 5.2%. ** However, consumer-related stocks gained 1.6%.

** An index tracking food & beverage stocks jumped 2.8%. Top spirit maker and index heavyweight Kweichow Moutai Co rose 3% to touch a two-and-a-half-month high.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)

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