JKB Financial Services Ltd.

As on : 07-Jul-2026

Market Commentary - Foreign Markets
07-Jul-2026 15:39

China stocks fall as growth concerns weigh on investor sentiment

Chinese stock markets ended lower on Tuesday, with investor sentiment hurt by fresh concerns over the country's economic growth outlook. The Shanghai Composite fell 1.26% to close at 3,990.2, while the Shenzhen Component declined 1.24% to 15,225.1. Both indexes closed at their lowest levels in nearly a month.

Investor confidence weakened after the World Bank projected China's economy to grow 4.4% in 2026 and 4.3% in 2027, pointing to the prolonged property market slowdown and weak consumer demand. Adding to the cautious mood, the Chinese government set its 2026 GDP growth target at 4.5%'5.0%, the lowest since 1991 and the first reduction since 2023, after keeping the target at around 5% for the previous three years.

Among major stocks, Kweichow Moutai fell 1.5%, China Life Insurance dropped 3.12%, Zijin Mining Group lost 2.33%, CATL declined 0.54%, BYD slipped 1.46%, and Midea Group eased 1.1%.

GET IN TOUCH