Chinese stock markets moved higher on Friday, supported by cautious optimism over upcoming US-Iran talks. The Shanghai Composite rose 0.51%, while the Shenzhen Component jumped 2.24%, led by strong gains in technology shares.
Investor sentiment improved after reports that Iran had begun diplomatic engagement with the US, raising hopes of easing geopolitical tensions.
At home, inflation remained low, with consumer prices rising just 1% in March. However, producer prices increased for the first time since late 2022, driven by higher global energy costs linked to the Middle East situation. While China's reserves have helped manage these pressures, there are early signs that higher costs are reaching consumers, as fuel prices were raised again.
Among top performers, Contemporary Amperex Technology, Zhongji Innolight, and Luxshare Precision Industry saw notable gains.
For the week, both indices posted strong growth, with the Shanghai market up 2.74% and Shenzhen surging 7.16%.