BEIJING: The China stock market moved higher again on Friday, one session after it had ended the four-day winning streak in which it had collected more than 55 points or 1.8 percent. The Shanghai Composite Index now rests just above the 3,105-point plateau and it is looking at another positive lead for Monday. The global forecast for the Asian markets is upbeat as disappointing U.S. job numbers may affect the long-term outlook for interest rates. The European and U.S. markets were firm, and the Asian markets figure to follow that lead. The SCI finished barely higher on Friday as gains from the resource stocks were capped by weakness from the financials and properties.
Among the actives, Agricultural Bank of China shed 0.28 percent, while Industrial and Commercial Bank of China lost 0.19 percent, Bank of China fell 0.53 percent, Vanke slipped 0.66 percent, Gemdale dropped 0.75 percent, PetroChina tumbled 1.02 percent, China Shenhua spiked 2.62 percent and Zijin Mining slid 0.31 percent. The lead from Wall Street is positive as stocks moved higher on Friday as the major averages climbed to fresh record closing highs. The NASDAQ added 58.97 points or 0.9 percent to 6,305.80, while the Dow rose 62.11 points or 0.3 percent to 21,206.29 and the S&P was up 9.01 points or 0.4 percent to 2,439.07. For the week, the NASDAQ surged 1.5 percent, the S&P jumped 1 percent and the Dow added 0.6 percent.
The strength on Wall Street came despite a Labor Department report showing weaker than expected job growth in May – although the jobless rate fell to its lowest level since May 2001. Also, the Commerce Department said that the U.S. trade deficit widened by more than expected in April. Crude oil futures fell further Friday, extending losses amid industry data showing U.S. drillers added rigs for the 20th week in a row. July WTI fell 70 cents or 1.5 percent to $47.66/bbl. Prices dropped 4.3 percent for the week. Closer to home, China will see May results for the services and composite indexes from Caixin later this morning. In April, their scores were 51.5 and 51.2, respectively.
