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China tech share weakness offsets strength in energy, healthcare stocks

05/10/2021 03:15
China tech share weakness offsets strength in energy, healthcare stocks

- China stocks wavered with no clear direction on Monday, as losses in tech shares amid Beijing's deepening anti-monopoly war offset gains in energy and healthcare companies.

** The blue-chip CSI300 index .CSI300 fell 0.1% to 4,992.42, but the Shanghai Composite Index .SSEC rose 0.3% to 3,427.99 points.

** China's Nasdaq-style STAR market .STAR50 dropped 0.8%, while an index tracking the IT sector .CSIINT fell 0.5%, after the internet watchdog on Saturday announced a ban on some mobile app notifications, as regulators ramp up a campaign to rein in internet firms' growing influence.

** "China's anti-monopoly campaign hit investor confidence in tech shares," said Yang Hongxun, analyst at Shandong Shenguang Consulting.

** But healthcare stocks .CSIHCSI soared, rebounding from last week's drubbing after a U.S. proposal to waive patents for COVID-19 vaccines met with fierce opposition from European governments and pharmaceutical giants.

** Shanghai Fosun Pharmaceutical 600196.SS jumped 10%, the maximum allowed, in Shanghai, after the drugmaker said a subsidiary had agreed to provide a factory to make the COVID-19 vaccine developed by BioNTech in China. 22UAy.DE nL1N2MW06R

** Energy shares .CSIEN also rose sharply, after a cyber attack shut down a U.S. pipeline operator that provides nearly half of the U.S. east coast's fuel supply, boosting oil and gas futures.

(Reporting by Shanghai Newsroom;
Editing by Vinay Dwivedi)

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