{
  "id": 13052450,
  "title": "China's blue-chip stocks hit over one-year low on AI-linked supply chain selloff",
  "url": "https://urgent.news/2026/10/09/chinas-blue-chip-stocks-hit-over-one-year-low-on-ai-linked-supply",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-10-09T06:54:39.000Z",
  "source": {
    "name": "Business Recorder",
    "slug": "business-recorder",
    "url": "https://www.brecorder.com/news/40443429/chinas-blue-chip-stocks-hit-over-one-year-low-on-ai-linked-supply-chain-selloff"
  },
  "original_language": "en",
  "account": "China’s blue-chip stock index sank to its lowest level in over a year on Friday, as a sharp decline in AI-related supply chain shares intensified, while Hong Kong’s stock market rebounded with internet companies leading the gains. The CSI300 Index tumbled 1.3% by lunchtime, reaching its lowest point since August 2025, while the Shanghai Composite Index dropped 1.2%. Hong Kong’s Hang Seng Index, however, surged 1.1%. The 5G Communication Index plummeted as much as 6%, hitting a two-month low. Tech-focused STAR50 Index also slid nearly 4%, reaching a five-month low. Zhongji Innolight, a key producer of optical transceivers for AI data centers, fell 5.4%, and memory chip leader CXMT declined nearly 5%. The country’s stock benchmarks are hovering near the levels observed two years ago when a Beijing stimulus surge lifted prices and reignited optimism for a sluggish bull market, now languishing in a three-month downturn. Conversely, the Coal Index climbed 1.4%, and consumer staples shares rose 0.6%, as investors shifted towards more stable and traditional sectors to mitigate risk. Hong Kong tech shares bounced back, climbing 1.6%, but the index remained close to a two-year low. The People’s Bank of China defended its exchange-rate policy against foreign criticism on Thursday, stating it has never intentionally pursued competitive depreciation, amid European calls for a stronger yuan to alleviate China’s record trade surplus and export boom. A stronger yuan could pose a more persistent earnings headwind for Chinese corporations with substantial overseas revenue, many of which are under-hedged, analysts from UBS noted.",
  "summary": "SHANGHAI: China’s blue-chip stock index fell to its lowest in more than a year on Friday, as a selloff in AI-related supply chain shares deepened, while Hong Kong stocks rebounded on gains in internet companies. The CSI300 Index dropped 1.3% by the lunch break to its lowest level since August 2025, while the Shanghai Composite Index lost 1.2%. Hong Kong’s benchmark Hang Seng was up 1.1%. The 5G…",
  "key_points": [
    "China's blue-chip CSI300 Index hits one-year low at 1.3% drop",
    "Hong Kong's Hang Seng Index surges 1.1% amid tech gains",
    "AI-linked supply chain shares plummet 6% in 5G Communication Index"
  ],
  "editors_take": "The decline in China’s blue-chip stocks signals investors are rotating towards more stable sectors, fleeing risk amid a downturn that has left benchmarks near two-year lows and earnings prospects uncertain.",
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}