The Shanghai Composite rose 0.2% to above 4,140 while the Shenzhen Component fell 0.2% to 14,410 on Monday, with mainland stocks showing mixed performances as investors weighed tightening regulatory oversight on speculative trading against expectations of fresh stimulus. Regulators have recently cracked down on market manipulators and high-frequency trading while raising margin requirements in a broader push to limit capital market risks. At the same time, China’s central bank indicated it is prepared to cut banks’ reserve requirement ratios and key lending rates this year to maintain ample liquidity. On the trade front, US President Donald Trump warned that Canada could face 100% tariffs if it reaches a trade deal with China. Among individual stocks, Zijin Mining gained more than 5% on the back of rising gold and silver prices, while aerospace names China Aerospace and China Spacesat fell sharply, down 8.8% and 8.2% respectively, on profit-taking.
