March 9, 2016 - 10:18 AM EST
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China Shares May Find Traction On Thursday

BEIJING
(dpa-AFX) - The
China
stock market on Wednesday snapped the six-day winning streak in which it had surged almost 215 points or 7 percent. The Shanghai Composite Index now rests just above the 2,860-point plateau, although the market may see a positive bounce on Thursday.

The global forecast for the Asian markets is cautiously optimistic after a rebound in the price of crude oil. The European and

U.S.
markets ended slightly higher, and the Asian markets are also expected to open in the green.

The SCI finished sharply lower on Wednesday as investors locked in gains particularly among the properties and coal and metal companies.

For the day, the index tumbled 38.83 points or 1.34 percent to finish at 2,862.56 after trading between 2,811.72 and 2,863.01. The

Shenzhen
index dropped 2.15 percent to end at 9,523.14 for a combined turnover of 426.58 billion yuan.

Among the actives, Shengda Mining plunged by the 10 percent daily limit and Poly Real Estate Group skidded 1.79 percent.

The lead from Wall Street suggests mild upside as stocks ended mostly higher on Wednesday in subdued trade, offsetting the weakness in the previous session.

Dow edged up 36.26 points or 0.2 percent to 17,000.36, while the NASDAQ climbed 25.55 points or 0.6 percent to 4,674.38 and the S&P 500 rose 10.00 points or 0.5 percent to 1,989.26.

The higher close followed a sharp increase in the price of crude oil, which jumped after the Energy Information Administration said that crude oil inventories increased by 3.9 million barrels in the week ended March 4.

Overall trading activity was subdued as traders looked ahead to today's European Central Bank's monetary policy announcement.

Closer to home,

China
will release February figures for consumer and producer prices later this morning. Consumer prices are expected to rise 1.8 percent on year, unchanged from the January reading. Producer prices are tipped to contract an annual 4.9 percent after slipping 5.3 percent in the previous month.

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Source: Equities.com News (March 9, 2016 - 10:18 AM EST)

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