China Market ends lower

The Mainland China share market finished session lower after swinging between gains and losses on Friday, 30 October 2020, as risk-off selloff triggered on caution ahead of the U.S. presidential election and on concerns that fresh lockdowns would derail global economic recovery.

At closing bell, the benchmark Shanghai Composite Index dropped 1.47%, or 48.19 points, to 3,224.53. The Shenzhen Composite Index, which tracks stocks on China's second exchange, fell 2.29%, or 51.51 points, to 2,198.07. The blue-chip CSI300 index declined 1.63%, or 77.58 points, to 4,695.34. The Shanghai Composite Index slid 1.6 per cent from Monday, capping a second weekly setback.

Market participants were unwilling to make huge bets ahead of the election, fearing it could bring massive volatility to global financial markets.

CURRENCY NEWS: The yuan strengthened against the dollar on Friday after China's leaders endorsed a new five-year plan to drive sustained economic growth, which markets believe will require a stronger currency. China is targeting sustained and healthy economic development in the five years to 2025, with an emphasis on a higher quality of growth, the official Xinhua news agency said, citing the ruling Communist Party's Central Committee. China will set detailed economic targets for the 2021-2025 to help promote higher quality growth, following a meeting of top Chinese leaders, the vice head of the country's state planner said. Prior to market opening, the People's Bank of China (PBOC) set the midpoint rate CNY=PBOC at 6.7232 per dollar, 28 pips firmer than the previous fix of 6.726.

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