Business · Markets · 16 hrs ago
Chinese stocks rebound as yuan heads for third weekly gain
Chinese stocks rose on Friday after falling to their lowest level in 14 months, while Hong Kong shares also gained.
The recovery was modest: the CSI 300 index still fell 3.4% for the week, its worst weekly performance since mid-July and its 10th straight weekly loss.
At least 10 AI supply-chain firms announced buybacks or plans to increase shareholdings, and some technology companies forecast strong third-quarter earnings, helping ease investor concerns.
The yuan is on course for a third straight weekly gain, supported by strong exports, and traded near its strongest level since January 2023.
But weak domestic demand and tight global liquidity continue to weigh on confidence, while a stronger currency could affect the competitiveness of exports.
China’s third-quarter GDP figures are due Monday; a Reuters poll expects growth to edge up to 4.4%, and the International Monetary Fund has urged Beijing to expand fiscal support.
Chinese stocks recovered on Friday from 14-month lows, while the yuan headed for a third consecutive weekly gain.
The CSI 300 rose 0.1% and the Shanghai Composite gained 0.2%, but the CSI 300 still fell 3.4% over the week.
At least 10 companies linked to the artificial-intelligence supply chain announced share buybacks or plans to increase holdings.
The yuan traded near 6.6907 per dollar after touching its strongest level since January 2023.
Strong exports supported the currency, while weak domestic demand and global liquidity pressures weighed on the outlook.
- Who
- Chinese stocks and the yuan. Companies linked to the artificial-intelligence supply chain also announced share buybacks or increased holdings.
- What
- Chinese shares rebounded and the yuan headed for a third consecutive weekly gain.
- When
- Friday, October 16, 2026. The yuan was on course for a third weekly gain.
- Where
- Mainland Chinese markets, Hong Kong and the foreign-exchange market.
- Why
- Share buyback plans and strong profit forecasts supported shares. Strong exports supported the yuan despite pressure on the domestic economy.
This story does not have two clearly opposing sides.
Artificial-intelligence stocks faced a sharp sell-off amid concerns about borrowing costs and heavy spending on technology infrastructure.
Chinese shares recovered from 14-month lows, supported by company announcements and a rebound in global markets.
The yuan touched 6.6897 per dollar, its strongest level since January 2023.
- CSI 300 on Friday
- Rose 0.1%
- CSI 300 weekly performance
- Fell 3.4%, its worst week since mid-July
- Companies announcing buybacks or increased holdings
- At least 10 artificial-intelligence supply-chain companies
- Yuan intraday level
- 6.6897 per dollar, strongest since January 2023
- People’s Bank of China reference rate
- 6.7220 yuan per dollar, strongest since February 2023