Flat Wednesday as sentiment remains weak

Shanghai stocks closed flat on Wednesday as market sentiment remained weak despite China’s factory output in November growing at its fastest pace in 20 months.

The benchmark Shanghai Composite Index edged down 0.01 percent to close at 3,366.98 points. The smaller Shenzhen Component Index declined 0.09 percent to 13,751.09 points.

Combined turnover on the two bourses was 701 billion yuan (US$107.4 billion), compared with 709.6 billion yuan in the previous session.

Shares of automobile companies, telecommunication and electronics firms were among the biggest decliners. A total of 39 listed firms posted gains of more than 9 percent, while 37 declined by over 9 percent.

National Statistics Bureau data showed that China's industrial output growth quickened to 7.0 percent in November from a year earlier.

Guotai Junan Securities said investors became cautious in the A-share market and tended to keep their shares in consumer sectors such as liquor, food and beverages. The firm suggests paying attention to industries such as new-energy vehicles, photovoltaics and home appliances.