Shares fall after profit-taking hurts blue chips

Shanghai stocks edged lower yesterday because investors took profits on blue chips after the market's considerable gains in the previous week.

The Shanghai Composite Index fell 0.36 percent to 2,366.01 points.

The index has gained 12 percent this year and rose to a 20-month high on Thursday.

China Petroleum and Chemical Corp, the country's biggest refiner, retreated 1.5 percent to the lowest level since August 7.

Pacific Securities slumped 2.58 percent to 6.41 yuan (US$1.05), Anxin Trust dropped 2.56 percent to 23.95 yuan, while the Bank of Beijing fell 2.49 percent to 7.82 yuan.

China Galaxy Securities predicted profit-taking will continue this month as the market has been boosted by certain shares which gained. The brokerage advised investors to chase after medical and technology shares.