China stocks rebound after Shanghai`s steepest drop since April; Hong Kong extends losses

Aug 28, 2025, 11:49 GMT+7
(Reuters) - Mainland China stocks rebounded on Thursday, after the Shangahai benchmark posted its steepest daily drop since April in the previous session, as investors assessed the sustainability of the recent rally.
Hong Kong shares extended losses.
** At the midday break, the Shanghai Composite indexadded 0.07% to 3,803.08 points, after recording its worst day since April 2025 on Wednesday. The blue-chip CSI300 indexgained 0.69%.
** Semiconductor stocks led gains, with the sub-index tracking the sectorjumping 4.1%.
** Tech stocks in China outperformed after GF Fund Management lifted investment curbs on a tech-focused feeder fund just a day after imposing them.
** On Wednesday, the fund house had set a daily purchase cap of 100 yuan ($13.98) on the feeder fund for the GF Star Growth Index ETF, triggering market risk concerns and contributing to Shanghai's biggest fall in nearly five months.
** Shanghai's tech-focused Marketjumped roughly 5% to a more than 3-1/2-year high before notching a 3.7% rise at midday.
** China's stock market is on a tear, fuelled by state money and big institutions, with analysts saying the absence of retail investor euphoria suggests the rally could be more sustainable despite a sluggish economic recovery.
** Investors will shift focus to the fourth Plenum in October, which is expected to discuss the 15th five-year plan and anchor policy expectations, traders and analysts said.
** Hong Kong's benchmark Hang Seng Indexfell 0.66% to 25,035.78 points, while the Hang Seng China Enterprises Indexlost 0.86%.
** Losses in Hong Kong were led by China's leading food delivery group Meituan,which posted an 89% drop in second-quarter adjusted net profit on rising competition in the instant retail sector.
($1 = 7.1529 Chinese yuan)

Sumber : Reuters