Chinese Stocks Extended Losses in Morning Session
Tang Shihua
DATE:  Dec 06 2018
/ SOURCE:  yicai


(Yicai  Global) Dec. 6 -- Chinese stock markets finished the morning session thinner as major tech stocks fell in unison as new trade tensions between China and the US emerged. 


Chinese tech firms, particularly in the field of telecoms equipment, put a damper on growth in the markets after it was reported this morning that Chinese telecommunication equipment giant Huawei Technologies' Chief Financial Officer Meng Wanzhou has been detained in Vancouver. Meng could be extradited to the US after a court hearing scheduled for tomorrow. 


Huawei itself has not gone public yet but its suppliers and business partnerners bore the brunt of this latest trade tussle that is forming just days after the two largest economies in the world agreed on a ceasefire. 


At lunch break, Circuit board maker Shennan Circuits [SHE: 002916] slid 9.19 percent. Optical components firm Accelink Technologies [SZE:002281] tumbled 6.99 percent. Cable makers Zhongli Group [SZE:002309] dropped 2.10 percent as well as Hengtong Optic-Electric [SZE:600487] was down 3.25 percent. 


Huawei's Smart phone OEM  Foxconn Industrial Internet [SHA: 601138] also fell 2.36 percent. 


ZTE, another Chinese telecoms equipment giant, saw its share down 5.78 percent in sympathy, its Hong Kong listed share price was also down 5.45 percent.


The Shanghai Composite Index dropped 1.28 percent to 2615.82 points by lunch break. The Shenzhen Component Index was 1.60 percent down to 7802.01 points. The ChiNext Price Index fell 1.46percent to 1,361.55 points.


Elsewhere in Asia, Hong Kong's Hang Seng Index fell 2.58 percent as of at noon,Japan's Nikkei Index was down 1.98 percent.


China and the US agreed on a 90-day trade truce in Argentina on Dec. 1. 


Editor: Emmi Laine 



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