The Shanghai Composite rose 0.37% to 3,858, while the Shenzhen Component gained 0.99% to 12,696 on Friday, extending the previous session’s advance amid broad market strength. Both benchmarks also logged robust monthly gains in August, with the Shanghai index up about 8% and the Shenzhen index climbing 15%. The rally was fueled by easing US-China trade tensions, government efforts to rein in aggressive price competition, and ample liquidity. Markets also benefited from accelerating fund inflows, rising retail participation, and increased margin buying. Artificial intelligence and semiconductor stocks led the surge, supported by renewed investor interest despite concerns about weak fundamentals. On the downside, Cambricon Technologies fell 6% Friday, snapping a record rally after the AI chipmaker issued a risk alert to investors following its sharp price surge. Trading in Dosilicon was suspended after the company flagged abnormal stock price volatility.