China Stocks Drop on Tech Selloff
China's Shanghai Composite fell 1.6% and Shenzhen Component dropped 2.8% due to a tech and AI-linked global selloff. Key tech decliners included Zhongji Innolight, Eoptolink Technology, Shannon Semiconductor, Foxconn Industrial, and Victory Giant. New energy stocks like Sungrow Power, Contemporary Amperex, and Ganfeng Lithium also saw losses.
The Shanghai Composite fell 1.6% to around 3870, while the Shenzhen Component dropped 2.8% to 12,620 on Friday, pushing mainland stocks to multi-week lows as Chinese technology and AI-linked shares joined a global selloff.
Selling pressure spilled over from Wall Street, where concerns about an AI bubble persisted and stronger-than-anticipated US employment growth reinforced expectations that the Federal Reserve will hold off on cutting interest rates in December.
Key decliners in the tech sector included Zhongji Innolight (-3.3%), Eoptolink Technology (-5.1%), Shannon Semiconductor (-12.2%), Foxconn Industrial (-6.3%) and Victory Giant (-5%).
New energy names also extended losses, with Sungrow Power, Contemporary Amperex and Ganfeng Lithium falling between 1.2% and 9.7%.
