- Shanghai Composite trades in line with 100-day moving average
- Shanghai Jinqiao jumps on Tesla’s reported China move
Volatility in Chinese stocks fell to the lowest since January 2015 as the benchmark gauge declined for the first time in three days amid a lack of trading catalysts.
A gauge of 90-day price swings on the Shanghai Composite Index dropped to 24, less than half the level of its peak last year. The equity gauge slid 0.4 percent at the close. Jiangxi Copper Co. led a decline for material producers as the metal retreated from a two-week high after data showed exports from China, the world’s biggest user, rose to the highest since 2012.
The Shanghai gauge is trading in line with its 100-day moving average as subdued economic activity and MSCI Inc.’s rejection of mainland shares cap gains in the index, which is the world’s worst performer this year. Turnover has waned along with investor interest in stocks, with the value of shares traded of the Shanghai bourse down almost 90 percent from a June record.
The Shanghai Composite fell 10 points to 2,878.56. The Hang Seng Index advanced 0.8 percent, extending Monday’s 1.7 percent rally that was sparked by polls showing Britain is likely to remain in the European Union. The Hang Seng China Enterprises Index rose 0.8 percent.
Jiangxi Copper dropped 1.1 percent., while Yunnan Copper Co. slid 1.4 percent. Copper fell 0.9 percent to $4,604.5 a metric ton by 1:30 p.m. in Shanghai. Chinese data released Tuesday underscored a softening of local demand with exports of unwrought copper and copper products rising 73 percent in May from April to 125,981 tons. That’s the most since May 2012.
Hong Kong’s richest man stepped up his calls for Britons to vote in favor of staying in the EU.
"If Brexit happens, it will be detrimental to the U.K. and it will have a negative impact to the whole of Europe," CK Hutchison Holding Ltd. Chairman Li Ka-shing told Bloomberg Television’s Angie Lau.
Shanghai Jinqiao Export Processing Zone Development Co. surged 10 percent before its shares were suspended. A person with knowledge of the matter said its base was the front-runner to become Tesla Motors Inc.’s Chinese production site. The company said in a statement on Tuesday it didn’t sign an agreement with the U.S. car maker.
— With assistance by Tian Chen