Markets

China Stocks Predicted To Remain Rangebound

(RTTNews) - The China stock market has finished lower in two of three trading days since the end of the three-day winning streak in which it had advanced almost 30 points or 0.9 percent. The Shanghai Composite Index now rests just above the 2,955-point plateau and it's expected to open in the green on Thursday.

The global forecast for the Asian markets is firm as the impeachment drama starts to unfold in Washington. The European markets were down and the U.S. bourses were up and the Asian markets figure to follow the latter lead.

The SCI finished sharply lower on Wednesday following losses from the oil and insurance companies, while the financials and properties were mixed.

For the day, the index skidded 29.91 points or 1.00 percent to finish at the daily low of 2,955.43 after peaking at 2,977.67. The Shenzhen Composite Index tumbled 26.79 points or 1.61 percent to end at 1,638.77.

Among the actives, Industrial and Commercial Bank of China eased 0.18 percent, while Bank of China and Poly Developments both shed 0.28 percent, China Construction Bank collected 0.29 percent, China Merchants Bank advanced 0.79 percent, China Life Insurance skidded 1.23 percent, Ping An Insurance fell 0.19 percent, PetroChina dropped 1.76 percent, China Petroleum and Chemical (Sinopec) lost 0.60 percent, China Shenhua Energy sank 1.03 percent, Gemdale rose 0.17 percent, China Vanke slid 0.42 percent and CITIC Securities was down 0.44 percent.

The lead from Wall Street is upbeat as stocks showed a lack of direction Wednesday before moving firmly into positive territory.

The Dow added 162.94 points or 0.61 percent to finish at 26,970.71, the NASDAQ spiked 83.76 points or 1.05 percent to 8,077.38 and the S&P 500 rose 18.27 points or 0.62 percent to 2,984.87.

Stocks moved to the upside in reaction to the release of the memorandum of President Donald Trump's controversial call with Ukrainian President Volodymyr Zelensky as impeachment proceedings continue.

In economic news, the Commerce Department said U.S. new home sales rebounded strongly in August following a sharp pullback a month prior.

Crude oil prices drifted lower Wednesday after data showed a jump in U.S. crude inventories for a second straight week. West Texas Intermediate Crude Oil futures for November ended down $0.80 or 1.4 percent at $56.49 a barrel.

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