Chinese Stocks Kick Off March with Gains as Oil Giants Surge

Deep News03-02 17:43

China's A-share market showed mixed performance on the first trading day of March, with major indices posting divergent movements. The Shanghai Composite Index opened lower but climbed throughout the session, closing in positive territory to mark a strong start to the month. At the close on March 2, the Shanghai Composite Index stood at 4182 points, up 0.47%, while the Shenzhen Component Index fell 0.2% to 14465 points. The ChiNext Index declined 0.49% to 3294 points. Total trading volume across Shanghai and Shenzhen exchanges reached approximately 3.02 trillion yuan, representing an increase of about 532.7 billion yuan from the previous session.

Oil and gas-related sectors led the day's gains, with oil and gas exploration services, flammable ice, shale gas, and petroleum processing and trading sectors among the top performers according to financial data provider Tonghuashun. The oil and gas exploration services sector surged 12.23%, outperforming all other industry segments. In individual stocks, China Petroleum & Chemical Corporation saw its shares hit the daily limit during the closing call auction, joining Petrochina Company Limited and Cnooc Limited in a rare simultaneous 10% surge for China's three major state-owned oil companies.

Recent military strikes by the United States and Israel against Iran, followed by Iranian missile attacks on US military bases in the Middle East, have heightened geopolitical tensions. The Islamic Revolutionary Guard Corps' announcement of closing the Strait of Hormuz has drawn international concern. Everbright Securities analyst Zhao Naidi noted that escalating Middle East conflicts have increased crude oil transportation risks. Market expectations of significant supply constraints have driven oil prices higher, attracting investor attention to related oil and gas sectors.

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