Foreign investors were net sellers of ¥1.04 tln of Japanese government bonds in the week to June 5, versus net purchases of ¥1.25 tln in the prior week.

Liu Xiaochun, director of the Internet Rule of Law Research Center at the University of Chinese Academy of Social Sciences, warned that platforms' competing '100-billion-yuan' subsidy campaigns could trigger 'involution'-style cutthroat competition. He said large, irrational subsidies distort price signals and that some platforms require merchants to absorb subsidies in full, leaving merchants caught between no traffic if they don't cut prices and losses if they do. Severe margin compression threatens merchant viability, hinders industry innovation and upgrading. He also flagged that several platforms' rules unilaterally exempt platform liability except in force majeure, increasing consumer risk.

Oil-themed LOFs reversed early gains. Oil fund LOFs, HuaBao Oil & Gas LOF and Global Oil & Gas Energy LOF fell over 1%. Harvest Crude Oil LOF and E Fund Crude Oil LOF turned negative in the afternoon. Southern Crude Oil LOF’s gain narrowed to 1.31%.