July 25, 2024 at 03:30 am EDT
(MT Newswires) -- Chinese shares slumped for a fourth day as traders were not impressed with the central bank's unexpected rate cut.
The Shanghai Composite Index lost 0.5%, or 15.21 points, to end Thursday's trade at 2,886.74. The Shenzhen Component Index inched down 0.2%, or 18.39 points, to 8,474.70.
The People's Bank of China cut the benchmark rate for its one-year medium-term lending facility to 2.3% from 2.5%, the biggest reduction since the COVID-19 pandemic in 2020.
The move is part of efforts to boost investor confidence.
However, most are expecting the MLF will be slashed next month, according to Lynn Song, ING's chief economist for Greater China, in a Nikkei Asia report.
Simultaneously, the central bank also injected additional liquidity of 235.1 billion yuan into the banking system through seven-day reverse repurchase loans at a rate of 1.7%.
In corporate news, China CSSC Holdings (SHA:600150) dropped 5.5% at the close after announcing that its unit, Jiangnan Shipyard Group, will build 13 liquefied chemical gas tankers for AW Shipping, a joint venture between the United Arab Emirates' ADNOC Logistics & Services and China's Wanhua Chemical Group (SHA:600309), according to Yicai Global. A single very large ethane carrier costs $128 million, the report noted.

Sumber : MT Newswires