Chinese stocks fell and major indexes were forecast to decline for the week as caution grew ahead of a high-stakes government press conference that could announce a major fiscal stimulus package.
The CSI300 index was down 1.9% at the break to 3,922.80, for a five-day decline of 2.4%. If the decline continues, it will be the first time in four weeks. The Shanghai Composite Index fell 1.6%, and Shenzhen stocks based on a similar index fell 2.5%, with small and medium-sized companies leading the selling.
Hong Kong markets will be closed for the holiday and will reopen on Monday.
Investors are looking forward to Finance Minister Lan Fung’s press conference on Saturday morning. They expect Lang to announce fiscal policy, including bond sales and subsidies to boost consumption, which is critical to sustaining the $3 trillion rise in stock prices over the past three weeks. . Failure to meet market expectations could derail gains.
“Investors could be in for a cruel wake-up call on Monday if the long-awaited financial announcement turns out to be more lip service than action,” said Stephen Innes, managing director at SPI Asset Management in Bangkok. I can’t do it.”
“Without real cash on the table, this rebound risks becoming another false dawn in a long series of market disappointments. Investors want fireworks, not just a spark, and anything less Things could push investors towards the exit.”
