Shanghai stocks retreat as caution sets in

Shanghai stocks dipped on Monday as investors turned cautious and locked in profits from earlier gains.

The Shanghai Composite Index fell 0.28 percent to close at 3,031.23 points.

Airport and shipping, tourism as well as catering stocks were among the biggest decliners.

Investors took a wait-and-see attitude and locked in profits after the A-share market rose 4.21 percent last week with a surge in tech firms and high expectations for liquidity.

On Monday, the National Development and Reform Commission (NDRC) said in a press conference that China is confident in overcoming the coronavirus and maintaining stable economic growth.

Cong Liang, secretary-general of the NDRC, said that the commission will release more targeted tax and fee cuts to help micro, small and medium-sized enterprises.

Haitong Securities said in a report that investors need to focus on the profit gains of companies and industries, while telecommunication companies and brokerages are suggested due to industry transformations.

China Molybdenum Co Ltd declined 4.13 percent to 4.41 yuan (US$0.63) and Hainan Airlines Holding Co Ltd fell 4.97 percent to 1.72 yuan.