BEIJING (dpa-AFX) - The China stock market has climbed higher in four straight sessions, advancing more than 60 points or 2.1 percent along the way. The Shanghai Composite Index now rests just beneath the 2,915-point plateau although it may run out of steam on Thursday.
The global forecast for the Asian markets suggests consolidation on growing concerns of a trade war between the United States and China, with tumbling crude oil prices reflecting those concerns. The European and U.S. markets were down and the Asian bourses are tipped to follow suit.
The SCI finished slightly higher on Wednesday as losses from the financials, properties and energy producers limited the upside of the broader market.
For the day, the index added 4.79 points or 0.16 percent to finish at 2,914.70 after trading between 2,890.66 and 2,934.98. The Shenzhen Composite Index was flat at 1,541.66.
Among the actives, Industrial and Commercial Bank of China shed 0.35 percent, while China Merchants Bank lost 0.38 percent, China Construction Bank lost 0.35 percent, China Life Insurance soared 4.82 percent, Ping An Insurance spiked 2.03 percent, PetroChina fell 0.42 percent, China Petroleum and Chemical (Sinopec) sank 0.55 percent, China Shenhua Energy slid 0.54 percent, Gemdale tumbled 2.11 percent, Poly Developments skidded 1.21 percent, China Vanke dropped 1.67 percent, CITIC Securities eased 0.19 percent and Bank of China was unchanged.
The lead from Wall Street is negative as stocks extended losses from the previous session on Wednesday, sending the major averages to multi-month closing lows.
The Dow shed 221.36 points or 0.87 percent to 25,126.41, while the NASDAQ lost 60.04 points or 0.79 percent to 7,574.31 and the S&P 500 fell 19.37 points or 0.69 percent to 2,783.02.
Worries of a further escalation of the U.S.-China trade dispute contributed to the weakness on Wall Street amid concerns China may weaponize its dominance in rare earth minerals. Reports say China may restrict the export of rare earth minerals, which are crucial for the U.S. technology industry.
Trade war worries have increased the appeal of safe havens such as U.S. treasuries, resulting in a sharp decline in bond yields - which has in turn added to concerns the U.S. could be headed for a recession or at least a slowdown in economic growth.
Crude oil prices declined on Wednesday on fears of an escalation in the U.S.-China trade war and its likely impact on the global economy. West Texas Intermediate crude oil futures for July ended down $0.33 or 0.6 percent at $58.81 a barrel, well off the day's low of $56.90 a barrel.
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