Chinese Stocks Mixed Opening: Shanghai Down 0.04%, Shenzhen Up 0.26%.

Chinese shares opened mixed on Tuesday, with the Shanghai Composite Index down 0.04% to 3,380.08 points, while the Shenzhen Component Index rose 0.26% to 10,074.27 points. The mixed performance follows a recent surge in Chinese stocks.

Chinese shares opened mixed on Tuesday, with the Shanghai Composite Index down 0.04% to 3,380.08 points, while the Shenzhen Component Index rose 0.26% to 10,074.27 points. The mixed performance follows a recent surge in Chinese stocks, driven by hopes for a potential thaw in US-China trade tensions [1].

The Shanghai Composite shed 0.07% to close at 3,295 on Friday, while the Shenzhen Component rose 0.39% to 9,917 in mixed trade [1]. Investor sentiment was buoyed by comments from US President Donald Trump, who insisted that trade negotiations with China are ongoing, contradicting Beijing’s assertion that no talks are currently taking place [1]. Additionally, reports suggest that China is considering waiving its 125% tariff on certain US goods, further raising hopes of de-escalation in the trade war [1].

The main stock market index in China (Shanghai) decreased 57 points or 1.69% since the beginning of 2025, according to trading on a contract for difference (CFD) that tracks this benchmark index from China [1]. The China Shanghai Composite Stock Market Index is expected to trade at 3214.33 points by the end of this quarter, according to Trading Economics global macro models and analysts expectations [1].

Investor sentiment remains flat amid geopolitical concerns, according to Morgan Stanley’s latest analysis. The weighted Market Sentiment Analysis Index (MSASI) held steady at 66%, while the simple MSASI remained at 53% compared to the June 11 cutoff date [4]. Average daily turnover showed mixed results across Chinese markets, with ChiNext, Equity Futures, and Northbound trading volumes increasing, while A-shares turnover declined [4].

Separately, Chinese chip designer Montage Technology Co has reportedly hired banks for its planned listing in Hong Kong, which could raise about $1 billion [2]. The Shanghai-listed company is working with China International Capital Corp (OTC:CNICF), Morgan Stanley (MS), and UBS Group (UBS) on the potential share sale [2].

Tesla also signed a $557 million deal for an energy storage station in Shanghai, marking the first China grid-scale battery storage station using its megapack batteries [3].

References:
[1] https://tradingeconomics.com/china/stock-market
[2] https://seekingalpha.com/news/4460603-chinese-chip-designer-montage-technology-reportedly-hires-banks-for-1-billion-hong-kong-ipo
[3] https://batteriesnews.com/tesla-shanghai-sign-557-million-energy-storage-station-deal-yicai-reports/
[4] https://www.investing.com/news/stock-market-news/chinese-stock-sentiment-remains-flat-amid-geopolitical-concerns-93CH-4103424