The Shanghai Composite shed 0.5% to 4,084 while the Shenzhen Component lost 0.15% to 14,011 on Thursday, with mainland stocks pausing a strong rally that brought the benchmark indexes to multi-year highs. Chinese stocks outperformed at the start of the year fueled by optimism over China’s advancements in artificial intelligence and other high-tech sectors, as well as expectations of further policy support. Trading turnover at the start of the year significantly exceeded the five-year daily average of 1.13 trillion yuan, reflecting sustained investor participation and potential for continued gains. Technology shares led the retreat, including Zhongji Innolight (-2.9%), Luxshare Precision (-3.7%), Eoptolink Technology (-1.9%), East Money Information (-2.1%), and Foxconn Industrial (-1.7%).
