China shares end lower, with 2.8 pct loss for week

(Xinhua)
Updated: 2008-07-04 20:31

BEIJING -- Chinese shares closed mixed on Friday, with coal stocks diving on talk of higher taxes.

The Shanghai Composite Index fell 33.64 points, or 1.24 percent, to end at 2,669.89 points. The Shenzhen Component Index barely budged, gaining 0.03 percent to 9,400.72 points.

Combined turnover dropped to 93.9 billion yuan (about 13.4 billion U.S dollars) from 114 billion yuan on Thursday.

Coal shares plunged amid talk that taxes on production will be raised this weekend. China Shenhua, the country's largest producer, sank 8.13 percent to 31.92 yuan. Hebei Jinniu Energy Group fell 8.9 percent to 37.99 yuan.

Of the top 10 heavyweights, only China Industrial and Commercial Bank, the country's largest lender, managed to edge up 1.05 percent to 4.8 yuan, while China Merchants Bank rose 0.66 percent to 21.29 yuan.

PetroChina, the country's largest oil producer, dipped 2.24 percent to 14.38 yuan, while Asia's top oil refiner, Sinopec, lost 3.19 percent to 9.42 yuan.

The Shanghai index fell 2.86 percent during the week ended on Friday. Surging world oil prices, a probable rise on deposit interest rates, and weakness on Wall Street have kept investors wary, said analysts.