China stocks close higher on strong factory PMI data

China stocks closed higher on Tuesday, led by new energy vehicle-related and mining shares, as strong factory data reflecting a bounce-back in its economy from the coronavirus crisis lifted sentiment. ** The CSI new energy vehicles index gained 3.87%, while the CSI China mainland natural resource sector was up 1.43%. ** The smaller Shenzhen index ended up 0.67% and the start-up board ChiNext Composite index was higher by 0.81%.

China stocks closed higher on Tuesday, led by new energy vehicle-related and mining shares, as strong factory data reflecting a bounce-back in its economy from the coronavirus crisis lifted sentiment. ** The Shanghai Composite index ended 0.44% higher at 3,410.61.

** The blue-chip CSI300 index was up 0.54%, with financial sector sub-index gaining 0.08%, the consumer staples sector rising 0.21%, the real estate index falling 0.25% and the healthcare sub-index sliding 0.36%. ** The CSI new energy vehicles index gained 3.87%, while the CSI China mainland natural resource sector was up 1.43%.

** The smaller Shenzhen index ended up 0.67% and the start-up board ChiNext Composite index was higher by 0.81%. ** China's factory activity expanded at the fastest clip in nearly a decade in August, bolstered by the first increase in new export orders this year, the Caixin/Markit Manufacturing Purchasing Managers' Index (PMI) showed. ** Defence-related stocks in China surged after fresh conflict reignited between Chinese and Indian troops at the border of both countries. ** Shares of Chinese electric car maker BYD Co Ltd in Shenzhen rose to daily limit of 10% after the company's coaches were selected for California purchasing contract.

** Around the region, MSCI's Asia ex-Japan stock index was weaker by 1.26%, while Japan's Nikkei index closed down 0.01%. ** At 0708 GMT, the yuan was quoted at 6.8229 per U.S. dollar, 0.37% firmer than the previous close of 6.8483.