China Stock Market Due For Support On Monday

(RTTNews) - The China stock market has moved lower in four straight sessions, sinking almost 125 points or 3.7 percent along the way. The Shanghai Composite Index now sits just above the 3,270-point plateau although it's looking at a steady start on Monday.

The global forecast for the Asian markets is mixed to lower on concerns over recession and the debt ceiling. The European markets were up and the U.S. bourses were down and the Asian markets figure to split the difference.

The SCI finished sharply lower on Friday following losses from the financials, properties and resource stocks.

For the day, the index stumbled 37.19 points or 1.12 percent to finish at 3,272.36 after trading between 3,271.43 and 3,319.13. The Shenzhen Composite Index dropped 22.73 points or 1.12 percent to end at 2,010.04.

Among the actives, Industrial and Commercial Bank of China shed 0.40 percent, while China Construction Bank lost 0.46 percent, China Merchants Bank skidded 1.19 percent, Bank of Communications retreated 1.35 percent, China Life Insurance collected 0.62 percent, Jiangxi Copper plunged 4.34 percent, Aluminum Corp of China (Chalco) plummeted 4.46 percent, Yankuang Energy tanked 3.48 percent, PetroChina tumbled 1.70 percent, China Petroleum and Chemical (Sinopec) perked 0.16 percent, Huaneng Power jumped 1.75 percent, China Shenhua Energy lost 0.61 percent, Gemdale surrendered 2.07 percent, Poly Developments slumped 1.05 percent, China Vanke declined 1.57 percent, China Fortune Land dropped 1.95 percent and Bank of China was unchanged.

The lead from Wall Street is soft as the major averages opened higher on Friday but quickly turned lower, spending the rest of the session in the red and finishing with mild losses.

The Dow dipped 8.88 points or 0.03 percent to finish at 33,300.62, while the NASDAQ sank 43.76 points or 0.35 percent to end at 12,284.74 and the S&P 500 eased 6.54 points or 0.16 percent to close at 4,124.08.

For the week, the Dow slumped 1.1 percent, the S&P fell 0.3 percent and but the NASDAQ rose 0.4 percent.

The early downturn on Wall Street followed the release of a report from the University of Michigan showing U.S. consumer sentiment deteriorated much more than anticipated in May.

Worries about the debt ceiling crisis also continued to hang over the markets, with the postponement of a meeting between President Joe Biden and top lawmakers adding to jitters about a potential default.

Crude oil prices fell Friday on the dollar's strength and worries about the outlook for energy demand. Fears of the U.S. falling into a recession and the impasse in debt ceiling talks boosted dollar's safe-haven appeal and hurt oil prices. West Texas Intermediate Crude oil futures fell $0.83 or 1.2 percent at $70.04 a barrel.