Profit-taking blunts morning market

By Joyce Pan  |   2009-5-18  |     ONLINE EDITION

SHANGHAI'S key stock index dropped over 1 percent in the morning session, led by property developers and the finance sector, amid profit taking.

The benchmark Shanghai Composite Index dropped 1.26 percent, or 33.23 points, to close at 2,612.04 points. Losers outnumbered gainers 578 to 256 while 14 remained unchanged. Turnover stood at 60.93 billion yuan (US$8.96 billion).

The Shenzhen Composite Index, which tracks the smaller domestic market, was down 0.89 percent to close at 877.83 points.

US markets ended nine consecutive weekly gains and posted a loss last week across its three major indexes. Oil prices also corrected last week raising new concerns over a deepening economic recession.

Gemdale Corporation retreated 3.64 percent to 15.90 yuan. China Merchants Property Development Co Ltd dived 5.37 percent to 27.68 yuan. Poly Real Estate Group Co tumbled 2.71 percent to 21.90 yuan. Shanghai Lujiazui Finance & Trade Zone plunged 2.76 percent to 25.04 yuan.

China Merchants Bank Co slid 2.21 percent to 16.79 yuan. Shanghai Pudong Development Bank edged down 1.67 percent to 24.72 yuan. Bank of Communications lowered 1.26 percent to 7.08 yuan. China Construction Bank sank 1.30 percent to 4.54 yuan.

PetroChina, the biggest component index, slumped 2.81 percent to 12.80 yuan. China Shenhua Energy Co declined 2.61 percent to 26.48 yuan.