The three major A-share indices were mixed in the morning session. By midday, the Shanghai Composite Index rose 0.2%, the Shenzhen Component Index fell 0.28%, and the ChiNext Index dropped 0.49%, while the Beijing Stock Exchange 50 Index dipped 0.01%. Combined turnover in the Shanghai, Shenzhen, and Beijing markets was 932.3 billion yuan, down 75.7 billion yuan from the previous session. Over 2,700 stocks advanced.

By sector, military equipment, precious metals, gaming, gas, and high-speed rail led gains, while innovative drugs, silicon energy, retail, and dairy were among the decliners. ETFs closed mixed, with the Gold Stock ETF (517400) leading gains at 4.06%, followed by the Gold Stock ETF Fund (159315) up 3.74% and the Gold Stock ETF (159562) up 3.59%. The S&P Oil & Gas ETF (159518) led losses at 3.3%, the S&P Oil & Gas ETF (513350) fell 3.26%, and the Hong Kong Healthcare ETF (159366) dropped 2.73%.

On the news front, on August 1, the U.S. reported July non-farm payrolls increased by 73,000, well below the expected 110,000. More surprisingly, the May and June figures were revised down by a cumulative 258,000—May’s payrolls were adjusted from 144,000 to 19,000, and June’s from 147,000 to 14,000. The disappointing data signals deterioration in the U.S. labor market.

Additionally, the Federal Reserve announced on Friday that Governor Adriana Kugler would resign from the Board of Governors. This comes as President Trump and his allies continue pressuring the Fed to cut rates. Kugler’s departure could allow the White House to install a "shadow chair" five months earlier, further fueling market expectations of a rate cut.