China Stock Market Tipped To Extend Losing Streak

The China stock market has moved lower in consecutive trading days, although it has shed just seven points or 0.2 percent in that span. The Shanghai Composite Index now rests just above the 3,480-point plateau and the losses may accelerate on Friday.

The global forecast for the Asian markets is negative and volatile, responding to the ongoing Russian invasion of Ukraine and resulting sanctions. The European and U.S. markets were down and the Asian bourses figure to follow suit.

The SCI finished slightly lower on Thursday as losses from the energy companies were mitigated by support from the financials and properties.

For the day, the index eased 3.08 points or 0.09 percent to finish at 3,481.11 after trading between 3,473.34 and 3,500.29. The Shenzhen Composite Index sank 19.10 points or 0.83 percent to end at 2,294.08.

Among the actives, Industrial and Commercial Bank of China advanced 0.85 percent, while Bank of China collected 0.64 percent, China Construction Bank climbed 1.48 percent, China Merchants Bank added 0.53 percent, Bank of Communications gained 0.61 percent, China Life Insurance shed 0.38 percent, Jiangxi Copper rallied 2.76 percent, Aluminum Corp of China (Chalco) soared 3.47 percent, Yankuang Energy retreated 1.52 percent, PetroChina strengthened 1.54 percent, China Petroleum and Chemical (Sinopec) jumped 1.83 percent, Huaneng Power eased 0.12 percent, China Shenhua Energy accelerated 2.55 percent, Gemdale surged 5.02 percent, Poly Developments spiked 3.38 percent, China Vanke improved 0.88 percent and China Fortune Land gathered 0.64 percent.

The lead from Wall Street is soft as the major averages opened higher on Thursday and bounced back and forth across the unchanged line before late selling pressure saw them finish firmly in the red.

The Dow dropped 96.69 points or 0.29 percent to finish at 33,794.66, while the NASDAQ tumbled 214.08 points or 1.56 percent to end at 13,537.94 and the S&P 500 fell 23.05 points or 0.53 percent to close at 4,363.49.

The volatility on the day came as traders kept an eye on developments in Ukraine as Russian forces continue to step up their attacks, forcing thousands of Ukrainians to flee the country.

Traders remain worried the sanctions imposed on Russia along with the subsequent surge in oil prices could derail the economic recovery even as the Federal Reserve prepares to begin raising interest rates.

Fed Chair Jerome Powell appeared before the Senate Banking Committee and reiterated the central bank is likely to raise rates by at least 25 basis points at its meeting later this month.

In economic news, the Labor Department noted a modest decrease in first-time claims for U.S. unemployment benefits last week. Also, the Institute for Supply Management reported a continued slowdown in the pace of growth in U.S. service sector activity in February.

U.S. crude oil prices drifted lower on Thursday, retreating from multi-year highs on speculation over a possible nuclear deal with Iran. West Texas Intermediate Crude oil futures for April ended down by 2.6 percent at $107.67 a barrel.