Shanghai, Feb 2, 2026, 03:30 GMT+8 — Premarket
- China Construction Bank A shares ended at 8.72 yuan, slipping 0.6%.
- China’s official PMI dipped into contraction territory in January. A private PMI reading is set for release later Monday.
- A private survey revealed new home prices climbed once more in January, with declines in resale prices slowing down.
China Construction Bank Corp’s Class A shares on the Shanghai exchange ended Friday at 8.72 yuan, slipping 0.05 yuan. Investors appeared cautious ahead of new updates on China’s economic growth and property sector. Stockanalysis
China’s official purchasing managers’ index (PMI) slid to 49.3 in January from 50.1 in December, dipping below the crucial 50 mark that signals contraction. The non-manufacturing PMI fell to 49.4, hitting its lowest point since December 2022. Huo Lihui of the National Bureau of Statistics pointed to soft demand and a seasonal slowdown. Nomura’s Ting Lu warned that Beijing will need stronger measures, writing: “Beijing will have to do much more in coming months to deliver an annual GDP growth rate above 4.5% in 2026.” Reuters
The issue for China Construction Bank right now is straightforward: weaker activity usually dampens credit demand, and easing policies can compress bank margins. Investors keep an eye on net interest margin — the gap between loan earnings and deposit costs — since it often shrinks when rates drop and loan pricing softens.
The official PMI report spotlighted Beijing’s push to boost consumption alongside potential further monetary easing. So far, the government has already allocated 62.5 billion yuan ($8.99 billion) from special bond funds to consumer subsidies. Meanwhile, the central bank hinted at possible additional reserve-requirement cuts and wider rate reductions later this year.
Property remains a weak spot. According to a China Index Academy survey, average new home prices in 100 cities inched up 0.18% month-on-month in January, down from a 0.28% increase in December. Meanwhile, resale prices dropped 0.85%, an improvement from the 0.97% fall seen previously. Reuters
The survey noted that pricing held stronger in first- and second-tier cities, boosted by high-end developments, while lower-tier cities struggled with excess inventory. For lenders, the property sector remains crucial—mortgage activity, developer loans, and collateral valuations all hinge on it.
China’s major state banks ended the week tightly grouped. Industrial and Commercial Bank of China’s A shares slipped 0.1%, Agricultural Bank of China dropped 0.9%, while Bank of China held steady, per market data. Stockanalysis Stockanalysis Stockanalysis
The market’s next move isn’t set in stone. Should demand remain sluggish and the property recovery falter, banks might confront fresh concerns over bad loans and margin squeeze—even if policy support grows.
Traders are set to eye Monday’s private-sector PMI closely, looking for signs if the official PMI’s drop shows up in private industry too. Any unexpected move in either direction could send shockwaves through financial stocks.
China Construction Bank’s next major company event is its earnings release, set for March 28, 2026. More details can be found at Investing
