The Shanghai Composite dropped 0.97% to 3,941.4, while the Shenzhen Component fell 1.88% to 13,611.6. Rising oil prices and growing tensions in the Middle East increased concerns about supply disruptions and higher inflation, raising expectations that major central banks may keep interest rates high for longer.

Investors also watched developments between China, Russia and the US. Putin and Xi discussed the possibility of a trilateral meeting with Trump during Chinas APEC summit in November, while Xi is expected to visit Washington later this month for talks with Trump.

Energy and technology stocks were among the biggest decliners. PetroChina fell 1.49% and CNOOC dropped 2.14%, while Zhongji Innolight, Eoptolink Technology and Victory Giant Technology lost 4.29%, 4.00% and 3.35%, respectively.

Disclaimer: No Business Standard Journalist was involved in creation of this content

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First Published: Sep 02 2026 | 4:04 PM IST

Source: Read the original article on www.business-standard.com