The Shanghai Composite rose 0.18% to close at 4,140, while the Shenzhen Component gained 0.09% to 14,330 on Tuesday, recovering some of the previous session’s losses as official data pointed to improved profitability across China’s economy. Industrial profits increased 0.6% year-on-year in 2025, marking the first positive reading since 2021, supported by improving downstream profit margins. Gains were led by private and foreign-invested companies, while state-owned firms remained under pressure. Separately, China’s central bank pledged on Monday to promote deeper financial market connectivity between the mainland and Hong Kong as part of broader efforts to bolster the city’s role as an international financial center. Among individual stocks, notable gains were recorded by Zijin Mining (2.8%), Zhongji Innolight (4.4%), BlueFocus Intelligent (7%), Eoptolink Technology (2.7%) and Foxconn Industrial (2.9%).
