China Tech Stocks Extend Gains

The Shanghai Composite slipped 0.01% to 3,853 while the Shenzhen Component advanced 0.67% to 13,446 on Thursday, with the latter reaching its highest level since February 2022 on strength in high-growth technology shares.

Sentiment was lifted by China’s continued push into artificial intelligence, as Alibaba announced plans to open its first data centers in Brazil, France and the Netherlands to accelerate global AI expansion.

Hopes of easing US-China trade tensions also provided support, though trading remained light ahead of the National Day holiday.

Technology and new energy stocks drove the rally, with notable gains from Zhongji Innolight (2.6%), Eoptolink Technology (6%), Hygon Information Technology (3.1%), Contemporary Amperex (3.4%) and Sungrow Power (3.7%).