Non-ferrous metals, financial stocks drag Chinese share market down

Updated: 2011-03-24 16:36
Large Medium Small

BEIJING - Chinese shares closed lower Thursday with the benchmark Shanghai Composite Index down 1.77 points, or 0.06 percent, to 2,946.71.

The Shenzhen Component Index fell 74.07 points, or 0.58 percent, to 12,771.46.

Combined turnover rose to 241.33 billion yuan ($36.79 billion) from 239.36 billion yuan the previous trading day.

Losers outnumbered gainers by 480 to 401 in Shanghai and 596 to 591 in Shenzhen.

Financial stocks led the declines on Thursday after the central bank said it would strengthen liquidity management this year to reduce imbalances of international payments.

GF Securities Co, a major brokerage in China, retreated 1.72 percent to 25.48 yuan, while shares of Shanxi Securities Co fell 1.24 percent to 10.33 yuan.

Non-ferrous metals posted widespread losses on speculation that recent gains were excessive. Inner Mongolia Baotou Steel Rare-Earth Hi-Tech Co, the country's leading rare earth producer, fell 1.85 percent to 84.05 yuan. Nanjing Yunhai Special Metals Co dropped 1.76 percent to 24.58 yuan per share.

Bucking the trend, oil stocks closed up after CNOOC Ltd, China's biggest offshore oil producer, reported Wednesday a year-on-year 84.5 percent increase in its net profits last year.

PetroChina and Sinopec, the country's oil giants, rose 1.19 percent and 0.12 percent to 11.93 yuan and 8.6 yuan, respectively.