The Shanghai Composite slipped 0.2% to around 4,000 on Friday, while the Shenzhen Component rose 0.9% to 14,025, though both benchmarks on track for a weekly decline as concerns over the economic and inflationary impact of the Iran war and higher energy prices weighed on sentiment. A retreat in oil prices offered some relief after US President Donald Trump ruled out deploying ground troops to the Middle East, and Israeli Prime Minister Benjamin Netanyahu said Israel would refrain from further strikes on Iranian energy infrastructure. China is also better positioned than other Asian economies to weather the oil shock after years of building up reserves and diversifying its energy mix toward renewables. Among individual stocks, East Money Information fell 3.9% and Shenzhen Longsys Electronics lost 4.2%, while Zhongji Innolight surged 9.1% and Eoptolink Technology jumped 10.4%.
