(RTTNews) - The China stock market has finished lower in back-to-back sessions, shedding more than 55 points or 1.3 percent in that span. The Shanghai Composite Index now sit just above the 4,025-point plateau and it's expected to open under water again on Monday.
The global forecast for the Asian markets is broadly negative with heavy pressure likely among technology companies. The European and U.S. markets were down and the Asian bourses are expected to follow that lead.
The SCI finished modestly lower on Friday as losses from the energy and resource sectors were mitigated by support from the financials and properties.
For the day, the index sank 30.04 points or 0.74 percent to finish at 4,027.74 after trading between 4,015.06 and 4,078.93. The Shenzhen Composite Index dropped 37.33 point or 1.33 percent to end at 2,763.92.
Among the actives, Industrial and Commercial Bank of China vaulted 1.52 percent, while Bank of China rallied 2.54 percent, Agricultural Bank of China advanced 0.95 percent, China Merchants Bank collected 1.26 percent, Bank of Communications jumped 1.64 percent, China Life Insurance climbed 1.02 percent, Jiangxi Copper tanked 3.67 percent, Aluminum Corp of China (Chalco) tumbled 2.02 percent, Yankuang Energy plummeted 8.14 percent, PetroChina fell 0.38 percent, China Petroleum and Chemical (Sinopec) lost 0.57 percent, Huaneng Power plunged 4.11 percent, China Shenhua Energy skidded 1.02 percent, Gemdale added 0.77 percent, Poly Developments slipped 0.37 percent and China Vanke improved 1.25 percent.
The lead from Wall Street is brutal as the major averages opened lower on Friday and accelerated deeper into the red throughout the day, ending at session lows.
The Dow plunged 695.15 points or 1.35 percent to finish at 50,866.78, while the NASDAQ cratered 1,121.53 points or 4.18 percent to close at 25,709.43 and the S&P 500 tumbled 200.57 points or 2.64 percent to end at 7,383.74.
For the week, the NASDAQ plummeted 4.7 percent, the S&P 500 dove 2.9 percent and the Dow dipped 0.3 percent.
The sell-off on Wall Street came as technology stocks remained under pressure amid concerns about valuations.
Profit taking also contributed to the substantial weakness following recent strength in the markets, which lifted them to record closing highs.
A sharp increase by treasury yields also weighed on Wall Street, with yields surging following the release of stronger than expected U.S. jobs data.
Crude oil prices slumped on Friday on optimism that the Strait of Hormuz may re-open in the coming days. West Texas Intermediate crude for July delivery was down $2.97 or 2.97 percent at $90.07 per barrel.
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