FX.co ★ China Shares May Tick Higher Again On Friday

The China stock market has demonstrated an upward trend in the past three trading days following a temporary dip. Presently, the Shanghai Composite Index is slightly above the 3,010 point plateau.

Internationally, the outlook for Asian markets is diverse and relatively unchanged as investors anticipate key U.S. inflation data. European and U.S. markets were marginally up while Asian indices are anticipated to show a split response.

On Thursday, the Shanghai Composite Index (SCI) grew modestly, propelled by gains in resource stocks. However, these were somewhat offset by the slump in financial shares along with property and energy sectors' fluctuating output.

For the day, the index ascended by 17.52 points or 0.59 percent to finish at 3,010.66. Moreover, the Shenzhen Composite Index surged by 29.36 points or 1.72 percent to settle at 1,732.61.

Notably, several leading companies experienced significant movement. The Industrial and Commercial Bank of China slumped 2.05 percent, with the Bank of China trailing at a 2.45 percent drop. On the other hand, China Life Insurance and Jiangxi Copper increased by 1.32 and 1.72 percent respectively.

Wall Street remained ambiguous as major averages opened slightly higher. However, they vacillated throughout the day, finishing without major change.

The Dow increased 47.29 points or 0.12 percent, to finish at 39,807.37, and the NASDAQ slightly declined 20.06 points or 0.12 percent to settle at 16,379.46. Meanwhile, the S&P 500 rose 5.86 points or 0.11 percent to finish at 5,254.35.

Investors on Wall Street remained cautious, awaiting the release of a Commerce Department report on personal income and spending that includes crucial inflation readings favored by the Federal Reserve.

Although the inflation data could influence interest rates' outlook, markets will need to wait until next Monday for investors' reaction due to the Easter holiday.

On the economic front, the Labor Department noted that initial U.S. unemployment claims were marginally down last week. Meanwhile, the Commerce Department reported that the U.S. economy experienced more growth than previously anticipated in 2023's Q4. In the housing market, a February rebound was reported by the National Association of Realtors.

OIl futures rallied on Thursday, driven by a likely drop in supply levels due to OPEC production cuts and continued attacks by Ukraine on Russian oil facilities. Concluding the week, West Texas Intermediate Crude oil futures for May soared 3.15 percent.