The Shanghai Composite and Shenzhen Component struggled for clear direction on Friday, but were both on track for a second consecutive weekly decline. Investor sentiment remained pressured by a global tech selloff driven by concerns over massive AI spending and potential disruption to traditional software business models. Heightened volatility in metals and cryptocurrency markets further weighed on risk appetite. Chinese tech stocks were hit, with Zhongji Innolight down 3.4%, Eoptolink Technology off 4%, and Leo Group falling 2.4%. In contrast, resource-related shares rebounded as precious metals stabilized, with gains from Zijin Mining (0.5%), Hunan Gold Corp (10%), and Beijing Xiaocheng (8%). In corporate news, BYD’s disappointing sales data raised concerns about the profit outlook for China’s electric vehicle sector amid slowing domestic demand and surging raw materials prices.
