China’s second-quarter GDP growth beat analyst expectations on Monday, but markets stayed in the red with little sign of strength.
It’s that time again: China’s second-quarter GDP growth beat analyst expectations on Monday, but markets stayed in the red, with little sign of strength even after the numbers surprised.
Mainland markets traded in negative territory for the first half of the day, with the Shanghai Composite down almost 2.5 percent at one point and the Shenzhen Composite down more than 3 percent. After the GDP data release, however, some of those losses were recovered and the Shenzhen Composite was down 2.2 percent and the Shanghai Composite was down only 0.11 percent at 11: 51 a.m. HK/SIN.
The ChiNext, the start-up board at the Shenzhen Stock Exchange, was down almost 5 percent on the day, but recovered somewhat as trade continued.
Investor sentiment was likely weighed down as a major once-in-five-years government work meeting from the weekend indicated Beijing was looking to increase control over the economy.
The meeting is usually overseen by Premier Li Keqiang, but this year, President Xi Jinping also addressed the conference, making it clear the main focus was to reduce financial risks.

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