FX.co ★ China Stocks End the Week Mixed

The Shanghai Composite Index climbed 1.1% to close at 4,032 on Friday, while the Shenzhen Component advanced 0.8% to 14,963, rebounding from the prior session and tracking gains across Asian markets as renewed optimism over a possible Middle East peace deal lifted global risk appetite. However, volatility triggered earlier in the week by US–Iran tensions left overall performance mixed. The Shanghai Composite eked out a weekly gain of about 0.1%—its first in a month—while the Shenzhen Component dropped 2.3%, recording a third straight week of losses. Sentiment improved later in the session after President Trump suggested that an agreement with Iran could be reached as soon as this weekend, potentially allowing for the reopening of the Strait of Hormuz. A-share commercial space-related stocks rallied strongly on momentum linked to the anticipated listing of SpaceX, with AVIC Chengdu Aircraft (+11%) and Chengdu Spaceon Electronics (+10%) among the standout gainers. Investors now turn their attention to China’s May credit lending data, due later today, for further signals on the strength of the domestic economy.