Chinese shares close lower with weak private PMI

Source: Xinhua| 2017-06-01 18:08:12|Editor: ying
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BEIJING, June 1 (Xinhua) -- Chinese stocks closed lower Thursday following the release of a weak reading in a private gauge of manufacturing activity.

The benchmark Shanghai Composite Index was down 0.47 percent to close at 3,102.62. The Shenzhen Component Index closed 1.36 percent lower at 9,730.33.

Total turnover on the two bourses stood at 382 billion yuan (about 56.1 billion U.S. dollars), slightly down from 389.1 billion yuan on Wednesday.

The Caixin China General Manufacturing Managers' Index (PMI) slipped to 49.6 in May from 50.3 in April, according to the survey conducted by financial information service provider Markit and sponsored by Caixin Media Co.

The May data marked the first contraction in 11 months. A reading above 50 indicates expansion, while a reading below 50 represents contraction.

The oil, shipbuilding and cement sectors were among the biggest losers on Thursday, with their sub-indices dropping 4.4 percent, 4.01 percent and 3.76 percent, respectively.

More than 10 companies in the oil sector dropped by 5 percent or higher. Bucking the trend, the country's leading oil refiner Sinopec rose 0.96 percent, and oil giant PetroChina rose 0.38 percent.

China CSSC Holdings, a leading shipbuilder in China, dropped 3.23 percent. Hebei-based Tangshan Jidong Cement plunged 6.85 percent.

The ChiNext Index, China's NASDAQ-style board of growth enterprises, ended 2 percent lower to close at 1,728.49 points.