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China Stock Market Expected To See Renewed Support On Monday

The China stock market on Friday wrote a finish to the two-day winning streak in which it had advanced almost 40 points or 1.2 percent. The Shanghai Composite Index now rests just above the 3,550-point plateau although it's expected to bounce higher again on Monday.

The global forecast for the Asian markets is upbeat, with support expected from oil, technology and utility stocks. The European and U.S. markets were firmly higher and the Asian markets are tipped to open in similar fashion.

The SCI finished modestly lower on Friday following losses from the financials, properties and oil companies, although the resource stocks offered support.

For the day, the index shed 24.34 points or 0.68 percent to finish at 3,550.40 after trading between 3,541.51 and 3,571.85. The Shenzhen Composite Index skidded 35.72 points or 1.43 percent to end at 2,468.14.

Among the actives, Industrial and Commercial Bank of China dipped 0.21 percent, while Bank of China fell 0.33 percent, China Construction Bank shed 0.50 percent, China Merchants Bank lost 0.40 percent, China Life Insurance sank 0.70 percent, Jiangxi Copper jumped 1.73 percent, Aluminum Corp of China (Chalco) spiked 1.78 percent, Yanzhou Coal added 0.59 percent, PetroChina dropped 0.63 percent, China Petroleum and Chemical (Sinopec) slid 0.49 percent, China Shenhua Energy was up 0.17 percent, Gemdale tanked 3.01 percent, Poly Developments retreated 1.24 percent, China Vanke was down 0.43 percent, China Fortune Land declined 1.79 percent and Bank of Communications was unchanged.

The lead from Wall Street is firm as the major averages opened higher on Friday and picked up steam as the day progressed, accelerating to fresh record closing highs.

The Dow jumped 238.20 points or 0.68 percent to finish at 35,061.55, while the NASDAQ climbed 152.39 points or 1.04 percent to end at 14,836.99 and the S&P 500 gained 44.31 points or 1.01 percent to close at 4,411.79. For the week, the Dow jumped 1.1 percent, the NASDAQ spiked 2.8 percent and the S&P rose 2 percent.

The four-day winning streak represents a remarkable turnaround for the markets following the sell-off on Monday, which dragged the major averages down to their lowest closing levels in almost a month.

The continued strength on Wall Street reflected a positive reaction to upbeat earnings news from several big-name companies, including Snap (SNAP), Twitter (TWTR) and American Express (AXP), although Intel (INTC) disappointed.

Crude oil futures settled modestly higher Friday, extending gains to a fourth straight session on hopes demand will see a significant increase in coming months. West Texas Intermediate Crude oil futures for September ended up by $0.16 or 0.2 percent at $72.07 a barrel. WTI Crude futures gained 0.4 percent in the week.

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