The Shanghai Composite fell 1% to below 4,120, while the Shenzhen Component dropped 1.7% to 14,040 on Friday, reversing gains from earlier in the week as mining stocks declined following a retreat in metals prices. Gold, silver, copper, and other metals all fell sharply as investors locked in profits after a strong rally to record highs. Key decliners included Zijin Mining (-8.4%), Tongling Nonferrous Metals (-10%), China Northern Rare Earth (-9.2%), CMOC Group (-9.9%), and Aluminum Corp (-9.9%). Despite the Friday sell-off, the Shanghai and Shenzhen indexes remain on track to gain more than 3% in January, supported by expectations of fresh policy support and advances in artificial intelligence and related technologies. However, mainland stocks came under pressure toward the end of the month amid a rising regulatory crackdown on speculative trading.
