Chinese shares climbed Tuesday, driven by renewed enthusiasm for domestic tech stocks that shielded them from the sharp sell-offs hitting South Korean markets.
The Shanghai Composite Index, the main gauge of Chinese stocks, closed 0.3% higher to 3,822.28. The Shenzhen Component Index surged 3.3% to 13,885.71.
The SSE STAR 50 Index (SHA:000688), the benchmark for the 50 largest science and technology companies on the Shanghai bourse, jumped 4.1% at market close.
CITIC Securities said the recent pullback in Chinese shares was a market correction following heavy investor positioning in artificial intelligence-related stocks, rather than a deleveraging-driven selloff like the one experienced in South Korea, The South China Morning Post reported.
The brokerage added that liquidity strains persist in parts of the market, but selling pressure on many non-core AI stocks has largely eased.
Meanwhile, China's insurance industry pulled in 3.86 trillion yuan in premiums in the first half, up 3.3% from the previous year. Life insurers grew 3.6%, while property insurers rose 2.1%. Non-auto insurance now accounts for 54% of property premiums.
In company news, Shenzhen JLC Technology (SHE:001232) closed at 208.01 yuan on its first day of trading on the Shenzhen bourse. This marked a 123% surge from the circuit board manufacturer's initial public offering price of 84.46 yuan apiece.