(RTTNews) – The China stock market headed south again on Wednesday, one day after ending the two-day slide in which it had stumbled more than 120 points or 3 percent. The Shanghai Composite Index now sits just above the 3,950-point plateau although it figures to see renewed support on Thursday.
The global forecast for the Asian markets is cautiously optimistic on an improved outlook for interest rates. The European markets were mixed and the U.S. bourses were up and the Asian markets figure to split the difference.
The SCI finished modestly lower on Wednesday as the technology shares were the key drag, while the financials and properties were mixed.
For the day, the index slipped 11.55 points or 0.29 percent to finish at 3,955.58 after trading between 3,943.70 and 3,981.67. The Shenzhen Composite Index slumped 17.88 points or 0.68 percent to end at 2,608.27.
The lead from Wall Street ends up positive as the major averages opened higher, slumped midday but rebounded to finish in the green.
The Dow climbed 150.37 points or 0.29 percent to finish at 52,658.64, while the NASDAQ improved 162.22 points or 0.62 percent to close at 26,269.23 and the S&P 500 added 28.81 points or 0.38 percent to end at 7,572.40.
The early strength on Wall Street came after the Labor Department said producer prices fell more than expected last month, easing concerns about the outlook for inflation and interest rates.
Buying interest remained somewhat subdued, however, as traders kept an eye on the escalating conflict between the U.S. and Iran.
Crude oil prices ticked lower on Wednesday after U.S. Energy Information Administration data on crude oil inventories indicated weaker-than-expected demand. West Texas Intermediate crude for August delivery was down $0.09 or 0.11 percent at $79.25 per barrel.
