FX.co ★ China Stocks Mixed Despite Strong Trade Data

On Monday, the Shanghai Composite Index experienced a 0.4% increase, surpassing 3,525, whereas the Shenzhen Component Index dipped by 0.2% to settle at 10,670. This illustrates a mixed performance among mainland stocks as investors balanced encouraging trade data against escalating geopolitical tensions. China's export growth for June exceeded market expectations, propelled by businesses accelerating their shipments before a temporary tariff suspension set to conclude in August. On the other hand, imports saw an increase for the first time this year, although they did not meet forecasts, indicating continued softness in domestic demand. Market sentiment was also affected by escalating global trade tensions after U.S. President Donald Trump announced a 30% tariff on imports from the European Union and Mexico, set to commence on August 1. The industrial and commodity sectors performed well, while shares in technology and finance sectors faced downward pressure.