Export fall takes the wind out of shares

Shanghai stocks ended lower yesterday as investors were dampened by a report that China's export orders fell by their fastest rate in 20 months.

The Shanghai Composite Index lost 0.56 percent to end at 3,228.84 points.

Investors were glum after learning that the HSBC's latest factory activity report showed China's export orders in February had shrunk by their fastest rate in 20 months.

Haitong Securities said the data also suggested the property market continued to cool while the coal electricity industry posted a downward trend.

Shenwan Hongyuan Securities said the annual parliamentary sessions in early March may offer good prospects for investors in state-owned enterprises undergoing reforms, companies in Shanghai's free trade zone and new-energy vehicle firms.

Shanghai AJ fell 6.85 percent to 16.72 yuan (US$2.67), Avic Capital lost 4.91 percent to 20.13 yuan, and China Life Insurance shed 4.46 percent to close at 36.65 yuan.