Chinese and Hong Kong stocks
climbed on Thursday after China's Premier Li Keqiang committed
to increase government investment this year, amid mounting signs
of slowing economic growth.
** At the midday break, the Shanghai Composite index was
up 0.5 percent at 2,582.19 points.
** China's blue-chip CSI300 index was up 0.4 percent,
with its financial sector sub-index higher by 0.7
percent, the consumer staples sector up 0.3
percent, and the healthcare sub-index up 0.5
percent.
** Chinese H-shares listed in Hong Kong rose 0.5
percent, while the city's main Hang Seng Index climbed
0.4 percent to 27,003.43, breaching the 27,000 points barrier
for the first time since December 4, 2018.
** The smaller Shenzhen index was pretty much flat while
the start-up board ChiNext Composite index edged
down 0.2 percent.
** Li Keqiang, the Chinese premier, said on Wednesday that China
will increase investment in public services and infrastructure,
expand consumption, and keep economic growth within a reasonable
range in 2019, as he warned of a difficult year ahead for the
Chinese economy.
** "Shares are rising because of expectation of new policies
supporting the economy, especially after the premier repeatedly
expressed his support. But it will take time for the stimulus to
be effective," said Zhang Gang, a Shanghai-based analyst with
China Central Securities.
** The People's Bank of China injected a net $83 billion into
the country's financial system on Wednesday, a daily record, to
avoid a cash crunch amid mounting worries over economic growth.
** The central bank made the move a day after money supply data
showed several of China's key credit gauges continue to languish
around record lows, and after Germany, a key trade partner with
China, reported its weaker-than-expected economic growth on
Tuesday.
** "Against such a background, the leadership may take more
policy measures to stimulate the economy, and the consumer
sector will be the first to benefit from policy," Wei Yi, an
analyst at Kaiyuan Securities wrote in a note on Thursday.
** Around the region, MSCI's Asia ex-Japan stock index
was firmer by 0.3 percent while, Japan's Nikkei
index was close to flat.
** The yuan was quoted at 6.7645 per U.S. dollar, 0.1
percent weaker than the previous close of 6.7580.
** The largest percentage gainers in the main Shanghai Composite
index were Wintime Energy Co Ltd, up 10.3 percent,
followed by Sichuan Hongda Co Ltd and Triumph
Science & Technology Co Ltd, both up 10.1 percent.
** The largest percentage losses in the Shanghai index were
shares of Sanan Optoelectronics Co Ltd, down 6.1
percent, followed by Shanghai No.1 Pharmacy Co Ltd,
losing 5.9 percent and Delixi Xinjiang Transportation Co Ltd
, down by 5.2 percent.
** As of 04:01 GMT, China's A-shares were trading at a premium
of 17.67 percent over the Hong Kong-listed H-shares.
** The Shanghai stock index is below its 200-day moving average.
** In Hong Kong, technology shares led the gains,
rising 1.6 percent.
** "Stocks like autos have been boosted lately by policy
announcements, and many of these tech stocks were left behind,"
said Linus Yip, chief strategist at First Shanghai Securities in
Hong Kong. "I think investors are seeing short-term trading
opportunities with as the wider market rises."(Reporting by Noah Sin; Editing by Rashmi Aich)
(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)