(RTTNews) – The China stock market has finished lower in two straight sessions, although it has fallen just 4 points or 0.01 percent in that span. The Shanghai Composite Index now rests just above the 3,470-point plateau although it’s expected to halt its slide on Thursday.
The global forecast for the Asian markets is positive after a couple of days of weakness, although sinking crude oil prices may cap the upside. The European and U.S. markets were up and the Asian markets are tipped to follow suit.
The SCI finished barely lower on Wednesday following losses from the oil companies and resource stocks, while the properties and financials were mixed.
For the day, the index eased 0.01 points or 0.00 percent to finish at 3,472.93 after trading between 3,450.11 and 3,481.25. The Shenzhen Composite Index rose 4.53 points or 0.20 percent to end at 2,277.21.
Among the actives, Industrial and Commercial Bank of China fell 0.37 percent, while China Construction Bank dipped 0.28 percent, China Merchants Bank jumped 1.73 percent, China Life Insurance collected 0.62 percent, Jiangxi Copper tumbled 18.1 percent, Aluminum Corp of China (Chalco) shed 0.47 percent, Yanzhou Coal eased 0.28 percent, PetroChina dropped 0.94 percent, China Petroleum and Chemical (Sinopec) tanked 2.73 percent, Baoshan Iron plunged 4.16 percent, Gemdale sank 0.74 percent, Poly Developments rose 0.28 percent, China Vanke lost 0.28 percent, China Fortune Land retreated 1.70 percent and Bank of China and Bank of Communications were unchanged.
The lead from Wall Street is solid as the major averages shook off early weakness on Wednesday and finished firmly in the green, snapping a two-day slide.
The Dow spiked 316.01 points or 0.93 percent to finish at 34,137.31, while the NASDAQ jumped 163.95 points or 1.19 percent to end at 13,950.22 and the S&P 500 climbed 38.48 points or 0.93 percent to close at 4,173.42.
Despite concerns about high valuations, traders have largely been reluctant to sell stocks amid worries about missing out on further upside.
Stocks linked to the economy reopening saw significant strength, while shares of Netflix (NFLX) moved sharply lower after the company reported much weaker than expected subscriber growth.
Crude oil futures declined sharply on Wednesday amid rising concerns about the outlook for energy demand due to rising coronavirus infections in India. Data showing an unexpected uptick in U.S. crude inventories also weighed on oil prices. West Texas Intermediate Crude oil futures for June fell $1.32 or 2.1 percent at $61.35 a barrel, the lowest close since April 13.