Alexa
  • Directory of Taiwan

China shares rise on rumors of stock index futures

China shares rise on rumors of stock index futures

Chinese shares rose for a third day Wednesday on rumors that stock index futures might be launched soon, led by financials.
The benchmark Shanghai Composite Index jumped 50.84 points, or 1.6 percent, to close at 3,262.60. The Shenzhen Composite Index for China's smaller second exchange gained 0.2 percent to 1,193.90.
Enthusiasm for blue chips was aroused by rumors that the Cabinet had approved the launch of stock index futures, though there was no official announcement of such a decision.
"The approval certainly boosted the buying sentiment," said Zhai Peng, an analyst for Guotai Junan Securities in Shanghai.
The possibility of additional business boosted brokerages. Sinolink Securities Co. added 3.5 percent to 24.1 yuan, while Guoyuan Securities Co. gained 3.2 percent to 21.21 yuan.
Banks rose on news reports of strong lending in December, which would raise interest income. Industrial & Commercial and Bank of China Ltd., China's biggest commercial lender, both jumped 2.1 percent _ ICBC to 5.39 yuan and BOC to 4.32 yuan. China Construction Bank Ltd. climbed 2.9 percent to 4.32 yuan.
Real estate shares rebounded after declining on the government's announcement that it would take steps to restrain rising housing prices. China Vanke Ltd., the country's biggest developer, added 2.9 percent to 10.75 yuan, while rival Poly Real Estate Group rose 2.5 percent to 22.28 yuan.
China Petroleum & Chemical Corp., or Sinopec, Asia's largest refiner by capacity, gained 3.1 percent to 14.14 yuan. PetroChina Ltd., Asia's biggest oil and gas producer, edged up 1.9 percent to 13.81 yuan.
In currency markets, the yuan strengthened to 6.8282 to the U.S. dollar, up from Tuesday's close of 6.8292.


Updated : 2021-05-06 18:43 GMT+08:00