China Shares Slip Amid Oil Disruption Risks; Chongqing Polycomp International Falls 9%
Chinese shares closed lower on Tuesday as oil disruption fears intensified following the resumption of fighting between the U.S. and Iran.The Shanghai Composite Index, the main gauge of Chinese stocks, went down 0.2% to 3,979.89. The Shenzhen Component Index declined 1.0% to 13,872.38.Oil prices rose after U.S. President Donald Trump threatened more strikes on Iran after the first direct attacks in a month on Sunday, reviving geopolitical tensions that had recently cooled into an economic standoff, Reuters reported.KCM's chief market analyst Tim Waterer said this reopens the door to Iranian retaliation, heightening risks to Gulf energy facilities and shipping in the Strait of Hormuz, according to the report.On the economic front, operating conditions across China's manufacturing sector improved in August, with the headline RatingDog China General Manufacturing Purchasing Managers' Index, coming in at 51.5. This was higher the 50.9 recorded in the previous month and beat market expectations of 51In company news, Chongqing Polycomp International (SHE:301526) plans to raise up to 5 billion yuan via a private A-share placement. Shares of the glass fiber and composite materials manufacturer closed 9% lower.
