SHANGHAI, Sept 4 (Reuters) - China stocks closed lower on
Friday after a sharp overnight selloff in Wall Street, with the
benchmark Shanghai index posting a weekly loss after a five-week
** The blue-chip CSI300 index fell 1.0% to
4,770.22, while the Shanghai Composite Index ended 0.9%
lower at 3,355.37.
** The tech-heavy start-up board index slipped 0.5%,
and the STAR50 index dropped 0.9%.
** For the week, CSI300 shed 1.5%, while SSEC lost 1.4%.
** Overnight, Wall Street's main indexes marked their
deepest one-day dives in months as investors dumped the
high-flying technology sector, while economic data highlighted
concerns about a long and difficult recovery.
** The U.S. selloff dented sentiment in the A-share market,
as foreign investors sold via the Stock Connect after such
corrections, said Zheng Zichun, an analyst with AVIC Securities.
** Refinitiv data showed investors on Friday sold a net 4
billion yuan ($584.56 million) worth of China stocks via the
Stock Connect linking mainland and Hong Kong, which allows
foreign investors access to the country's onshore equities.
** Leading the declines, the CSI300 consumer staples index
dropped 2.1% on worries about lofty valuations.
** Apple Inc's suppliers also fell, after the
iPhone maker's shares slipped 8% overnight.
** But Zheng was optimistic about the long-term outlook for
A-shares, citing low valuations compared with their U.S. peers
and Beijing's continued policy support as it needs a robust
market to finance the country's tech industries.
** Bucking the broad retreat, China's semiconductor firms
climbed on Friday on report of new policies to prop up the chip
** The A-share market will remain rangebound for the moment,
and investors could pay attention to pro-cyclical sectors with
low valuations, analysts at Huaan Securities noted in report.
($1 = 6.8428 Chinese yuan)
(Reporting by Shanghai Newsroom; editing by Uttaresh.V)