SHANGHAI: China shares edged lower on Tuesday as investors took profits following the previous day’s strong gains, but losses were limited after the country kept its benchmark lending rate steady, easing worries over policy tightening.

China kept its benchmark lending rate for corporate and household loans steady for the 12th straight month at its April fixing on Tuesday, matching market expectations.

At the close, the Shanghai Composite index was down 0.13% at 3,472.94. The blue-chip CSI300 index was down 0.07% after posting its best session in more than five weeks on Monday.

Consumer discretionary firms were the biggest drag on the day with a sub-index tracking the sector dipping 0.88%. Financials lost 0.23% and the real estate index fell 0.97%.

The CSI new energy vehicles index, which raced 6.25% higher on Monday, fell 0.48%.

The smaller Shenzhen index ended down 0.07% and the start-up board ChiNext Composite index was weaker by 0.09%.