China shares continue dismal performance

China shares continued their dismal performance today as investors have not yet fully recovered their confidence and they were concerned about the country’s slowing macro- economy.

The key Shanghai Composite Index dipped 0.93 percent, or 26.28 points, to close at 2,786.90 after briefly recovering in the morning trading session following strong gains in the non-banking financial sector.

The Shenzhen Component Index lost 1.06 percent to end at 9,071.73 points, while the Nasdaq-style ChiNext enterprise board reversed the morning's gains to finish the day lower at 1,543.66.

Nanjing Cenbest, one of the top 10 department stores in China, plunged by the daily maximum cap of 10 percent to close at 18.27 yuan, hitting a new 12-month low.

Caixin.com quoted Gu Yongtao, a strategist at Xinda Securities, as saying that the Shanghai Composite showed signs of recovery, helped by gains of communications, electronics and non-banking financial shares.

But a lack of strong performance by banks and real estate sectors gave investors doubt about a major recovery by the macro-economy, said Gu Yongtao, a strategist at Xinda Securities.