January 09, 2025 at 02:55 am EST
(MT Newswires) -- Chinese stocks were mixed on Thursday as deflation worries came to the forefront amid slowing inflation and the continuing decline in producer prices.
The Shanghai Composite Index, the main gauge of Chinese stocks, was down 0.6% to 3,211.39. The Shenzhen Component Index, however, rose 0.3% to 9,976.00.
China's consumer price index rose 0.1% year on year in December 2024, down from the 0.2% rise the previous month and marked the slowest pace since April 2024. The reading was in line with the expectations of economists surveyed by Reuters.
Also, the producer price index declined 2.3% year over year in December 2024, easing from the decrease of 2.5% in the previous month. The recent figure was slightly better than the 2.4% decline estimated by Reuters and marked the 27th straight month of declines.
The above figures indicated China's continuing struggle with weak domestic demand that stoked market concerns regarding deflation.
"Deflation looms heavily over China's economy in the run up to Chinese New Year as consumers look for deals when buying gifts for family members," CNBC cited Shaun Rein, managing director of the China Market Research Group, as saying. Rein noted consumers will only buy when they have access to big discounts.
In company news, Innuovo Technology received an insurance claim of 10.8 million yuan for a fire incident at its subsidiary's Zhejiang facility in China in June 2024. Shares of the rare-earth permanent magnet material manufacturer closed 8% higher Thursday.

Sumber : MT Newswires