Chinese stocks closed higher on Tuesday after better factory activity data strengthened confidence in the country’s industrial outlook and lifted technology and export-related shares.
The Shanghai Composite Index rose 0.5% to 4,094.4 points, while the Shenzhen Component Index climbed 2.48% to 16,205.56 points. Combined turnover across the two mainland exchanges reached 3.27 trillion yuan, down from 3.51 trillion yuan in the previous session. The lower turnover showed that the gains were not driven by broad market enthusiasm, but by stronger demand for selected sectors with clearer growth signals.
The official manufacturing purchasing managers’ index rose to 50.3 in June, moving back above the 50-point level that separates expansion from contraction. The non-manufacturing PMI improved to 50.2, while the composite PMI reached 50.6.
The data gave support to companies linked to advanced manufacturing, technology hardware and exports. High-tech exports remained a bright spot, helping to offset pressure from softer domestic demand. Export strength gives China’s listed manufacturers a clearer near-term source of revenue while policymakers continue to work on stabilising the wider economy.
Technology shares were among the strongest performers. The sector benefited from signs of solid external demand and continued positioning around China’s drive to upgrade its industrial base. Export-focused technology companies gained from the view that demand for higher-value goods remains more resilient than demand in some traditional sectors.
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