* HK->Shanghai Connect daily quota used -2.1%, Shanghai->HK daily quota used 1.4%
* FTSE China A50 -1.0%
SHANGHAI, June 7 (Reuters) – China stocks slid on Monday, after data showed the nation’s exports growth in May lagged expectations.
** The CSI300 index fell 0.7% to 5,246.53 at the end of the morning session, while the Shanghai Composite Index lost 0.2% to 3,584.18.
** Shenzhen’s start-up board ChiNext declined 1.2%, and Shanghai’s tech-focused STAR50 index slipped 0.2%.
** China’s imports grew at their fastest pace in 10 years in May, fuelled by surging commodity prices, while export growth missed expectations, likely weighed by disruptions caused by COVID-19 cases at major ports in the country’s south.
** “Export surprised a bit on the downside, maybe due to the COVID cases in Guangdong province which slowed down the turnover in Shenzhen and Guangzhou ports,” said Zhiwei Zhang, chief economist at Pinpoint Asset Management.
** Analysts said there was a lack of factors that could further push the market higher, as major indexes hover near a three-month high.
** The market would remain rangebound in the short term, as there is no force that could substantially change the balance for now, Zhu Zhiyong, an analyst with Aijian Securities, said in a note.
** Zhu noted investors should be wary of risks for sectors and stocks that face pressure in terms of earnings and valuations as company will report interim results.
** Leading the decline among sectors, the CSI new energy index dropped 2.7%, with bellwether CATL down 6% by midday break on expectations of more equity supply.
** Birth- and fertility-related companies also retreated, after Moody’s said China’s new policy allowing couples to have up to three children was unlikely to dramatically change national birthrate.
** The Hang Seng index dropped 0.8% to 28,695.18, while the Hong Kong China Enterprises Index lost 0.7% to 10,728.76.
** Shares of China Evergrande New Energy Vehicle Group Ltd fell as much as 8.3% on parent’s debt concern. (Reporting by Luoyan Liu and Andrew Galbraith; Editing by Rashmi Aich)
