Published 14:08 IST, June 20th 2024

China stocks down at close after Beijing keeps benchmark rates unchanged

China left the one-year and five-year loan prime rates (LPR) unchanged at a monthly fixing on Thursday

Reported by: Thomson Reuters
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China stocks down at close | Image: Unsplash
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China stocks down: China and Hong Kong stocks ended lower on Thursday, dragged down by lacklustre performance in property shares, as Beijing left its key benchmark lending rates unchanged despite recent data showing ecomy remains wobbly.

China's blue-chip closed down by 0.7, while Shanghai Composite Index lost 0.4 per cent to a two-month low. Hong Kong benchmark Hang Seng was down 0.6 per cent.

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China left one-year and five-year loan prime rates (LPR) unchanged at a monthly fixing on Thursday, underscoring that Beijing's monetary easing efforts continued to be limited by narrowing interest rate margins and a weakening currency.

5-year LPR influences pricing of mortgs. Property shares tred in China and Hong Kong dropped 2.9 per cent and 1.8 per cent, respectively. Chinese automakers have urged Beijing to hike tariffs on imported European gasoline-powered cars in retaliation for Brussels' curbs on exports of Chinese-me EVs, state-backed Global Times newspaper said on Wednesday.

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blue-chip index was down 0.72 per cent, with its financial sector sub-index lower by 0.7 per cent, consumer staples sector down 0.68 per cent, real estate index down 2.88 per cent and healthcare sub-index easing 1.47 per cent. smaller Shenzhen index ended down 1.88 per cent and start-up board ChiNext Composite index was weaker by 1.442 per cent.

Around region, MSCI's Asia ex-Japan stock index was weaker by 0.07 per cent, while Japan's Nikkei index closed up 0.16 per cent. At 07:47, yuan was quoted at 7.2602 per US dollar, 0.04 per cent weaker than previous close of 7.2572.

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At close of tre, Hang Seng index was down 95.07 points or 0.52 per cent at 18,335.32. Hang Seng China Enterprises index fell 0.48 per cent to 6,556.1. sub-index of Hang Seng tracking energy shares rose 2.2 per cent, while IT sector dipped 1.13 per cent, financial sector ended 0.28 per cent lower and property sector fell 1.81 per cent.

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14:06 IST, June 20th 2024