Chinese shares saw another mixed ending on the last trading day of 2025 despite a rebound in official and private readings of the country's manufacturing activity.
The Shanghai Composite Index, the main gauge of Chinese stocks, gained nearly 0.1% or by 3.72 points to 3,968.84. The Shenzhen Component Index fell 0.6% or by 79.04 points to 13,525.02
Manufacturing activity returned to expansion in the final month of 2025 to 50.1 in December from 49.2 in November due to an increase in pre-holiday orders, ending an eight-month slump in the indicator.
A private reading by RatingDog also showed a return to expansion of 50.1 from 49.9 a month ago on improved production and new work inflows.
China is also set to brace for higher tariffs, this time from Mexico, on Jan. 1.
Meanwhile, the redback is also seen to breach its highest annual rise since 2020, Reuters reported Wednesday.
"Yuan appreciation is driving offshore capital flow back to China, solidifying the foundation of China's bull market," Reuters quoted analysts from Western Securities as saying.
The appreciation of the renminbi could also "provide favorable conditions for loose monetary policies in 2026," the newswire quoted Guotai Haitong Securities (HKG:2611, SHA:601211) as saying.
In corporate news, Air China's Shanghai shares (SHA:601111) jumped 3% on news that it will buy 60 Airbus A320NEO aircraft for $9.53 billion.
Shenzhen Stock Exchange debutant Suzhou Xinguangyi Electronics (SHE:301687) closed 225% higher during its first trading day on Wednesday.
The polymer film materials company's shares reached 65 yuan during the opening bell, surging 196% from their price of 21.93 yuan apiece. The company offered 36.7 million shares in its IPO.
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