SynopsisChinese equities remained largely subdued on Tuesday, with defensive sectors cushioning losses in technology stocks. The Shanghai Composite was nearly flat, while the CSI300 slipped marginally.

Liquor, consumer staples and banking stocks gained, but technology-focused indices declined. Hong Kong stocks came under greater pressure, while global bond yields, Middle East tensions and oil prices above $90 added to risk-off sentiment.

comChinese stocks stay range-bound as tech weakness offsets defensive gains. China’s stock markets were largely subdued on Tuesday as gains in defensive sectors helped cushion declines in technology shares, with investors lacking fresh catalysts to drive the broader market higher.

06%. Trading remained cautious as investors assessed the outlook for economic growth, interest rates and upcoming corporate earnings.

Technology stocks were among the biggest drags. 5%.

The CSI Semiconductor Index also dropped 2%, reflecting continued weakness across the technology segment. Defensive Sectors Offer SupportLosses in technology shares were partly offset by buying in defensive sectors.

6%. Analysts at Hwabao Securities said market sentiment was expected to remain cautious, with trading likely to stay range-bound.

The brokerage pointed to a relatively quiet earnings period and uncertainty over the timing of a potential meeting between Chinese and US leaders as factors keeping investors on the sidelines. Investors are also reassessing the global interest-rate outlook following a more hawkish shift from Federal Reserve Chair Kevin Warsh last week.

The combination of a modest domestic economic recovery and an uncertain global rate environment could continue to encourage investors to favour a balance between defensive and growth-oriented assets. Shares of online fast-fashion retailer Shein fell 8% during their debut in Hong Kong on Tuesday.

Reuters reported that investors were concerned about the impact of regulatory and other setbacks that had delayed the company’s listing and potentially weakened some of its competitive advantages. Global Risks Weigh on SentimentBroader Asian markets also came under pressure as rising global bond yields increased concerns about financial conditions.

Renewed fighting in the Middle East added another layer of uncertainty, pushing oil prices above $90 a barrel. The combination of higher energy costs, elevated bond yields and uncertainty over monetary policy has weighed on risk appetite across regional markets.