The index, which covers both A and B-shares listed on the Shanghai Stock Exchange, opened at 3,788.75 points and touched an all-time high of 3,802.92 points in the afternoon before dropping late on.

The component index of the smaller Shenzhen Stock Exchange was down 160.23 points or 1.48 percent, to 10,688.55 points.

The combined turnover of the two bourses rose to 243.7 billion yuan (31.24 billion US dollars) from 223.8 billion yuan on the previous day.

Most stocks declined in value, including 511 stocks in Shanghai and 363 in Shenzhen.

Heavyweight stocks divided into two groups on Friday, with Ping An of China and China Life surging 8.7 percent and 4.03 percent respectively while the Industrial and Commercial Bank of China, Bank of China and China Petroleum and Chemical Corp. dipped more than two percent.

Despite the depreciation of bank stocks, the newly-listed China CITIC Bank, the country's seventh biggest lender, closed at 11.37 yuan, compared with its initial public offering price of 5.80 yuan and opening price of 9.21 yuan.

Financial institutions, especially trust and securities companies, recorded the highest rise. Shanghai Aijian Co. Ltd. and Anxin Trust and Investment Co. Ltd. reached their daily ten percent limits and Shaanxin International Trust and Investment Corp. gained 4.44 percent.

Hongyuan Securities continued to perform well and maintained its upward curve, surging nearly five percent.

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