China stocks gain as investors cheer fresh market reforms

China stocks started the week on a firmer note, as investors cheered Beijing's fresh reforms in its capital markets to help bolster the world's second-largest economy. ** At the midday break, the Shanghai Composite index was up 0.28% at 2,975.87 points on Monday, while China's blue-chip CSI300 index climbed 0.42%.

China stocks started the week on a firmer note, as investors cheered Beijing's fresh reforms in its capital markets to help bolster the world's second-largest economy.

** At the midday break, the Shanghai Composite index was up 0.28% at 2,975.87 points on Monday, while China's blue-chip CSI300 index climbed 0.42%.

** The tech-heavy start-up board ChiNext Composite index added 1.12% to its highest in more than four years.

** Over the weekend, China said it would revamp its benchmark equity index by introducing more high-tech strength and removing loss-making companies.

** The Shanghai Stock Exchange also said it would publish an index tracking the STAR Board, launched last July.

** That came after China finalized rules for companies seeking to list on Shenzhen's ChiNext board that streamline the process and allow the market to fully determine IPO pricing.

** The inclusion of STAR stocks in the SSEC will make its structure more reasonable and representative, as STAR companies represent the development direction of China's economy, Ma Wenyu, an analyst at Shanxi Securities noted in a report.

** The reforms would bode well for the equities market, while securities and tech stocks would benefit first, Ma added.

** Leading the gains, an index tracking major securities firms jumped 3.8%.

** In Hong Kong, stocks slipped over concerns about Beijing's Hong Kong legislation.

** Chinese H-shares listed in Hong Kong fell 0.71% to 9,904.25, while the Hang Seng Index was down 0.32% at 24,564.85.

** China will have overarching powers over the enforcement of new national security law in Hong Kong, according to details released on Saturday that signaled the deepest change to the city's way of life since it returned to Chinese rule in 1997.

** Around the region, MSCI's Asia ex-Japan stock index was firmer by 0.14%, while Japan's Nikkei index was up 0.36%.

** The yuan was quoted at 7.0769 per U.S. dollar, 0.09% weaker than the previous close of 7.0703.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)