The Shanghai Composite rose 0.26% to around 3,900 and the Shenzhen Component added 0.9% to 13,100 on Monday, with both indices reaching over one-week highs as optimism over a potential US Fed rate cut outweighed soft factory activity data in China. A private survey showed China’s factory activity slipping back into contraction in November, reflecting continued weakness in domestic demand. This followed official data released on Sunday showing another month of subdued manufacturing and a cooling services sector as post-holiday momentum faded. Meanwhile, rising expectations of a US rate cut helped support sentiment, with traders focused on Federal Reserve Chair Jerome Powell’s upcoming remarks and the potential confirmation of a dovish successor. Among top performers were Zhongji Innolight (3.7%), Eoptolink Technology (1.5%), Contemporary Amperex (0.8%), Gree Electric (0.8%), NAURA Technology (0.6%), and BYD (0.6%).
