China stocks rally on stimulus signals after dismal trade data

Hengan International

15/01/2019 07:44

* Shanghai stocks higher, blue-chip CSI300 index up
    * Gains in Shanghai stocks led by Ningbo Haitian Precision
Machinery Co Ltd and losses by Zoy Home Furnishing Co Ltd
    * China's A-shares are at a 18.18 percent premium over
H-shares

    SHANGHAI, Jan 15 (Reuters) - Chinese stocks climbed on
Tuesday as Beijing signalled more stimulus measures, a day after
the world's second largest economy posted weaker-than-expected
December trade data.
    ** The blue-chip CSI300 index  .CSI300  rose 2.0 percent, to
3,127.99 points, while the Shanghai Composite Index  .SSEC 
ended up 1.4 percent at 2,570.34 points.   
    ** Sector advanced across the board, led by consumer firms,
with the CSI consumer staples index  .CSICS  closing 4.4 percent
higher. 
    ** China will aim to achieve "a good start" in the first
quarter for the economy, the state planner said on Tuesday,
signalling authorities could roll out more stimulus measures in
the near term to counter slowing growth.  urn:newsml:reuters.com:*:nL3N1ZF1D6 
    ** The world's second-biggest economy slowed in 2018 as
Chinese authorities carried out painful long-term structural
adjustments to transition to a more gradual but sustainable
growth trajectory.
    ** Premier Li Keqiang said China achieved its key 2018
economic targets, which were "hard-won", and seeks a strong
start to the economy in the first quarter to establish
conditions helpful to meeting this year's goals, according to
state television on Monday.  urn:newsml:reuters.com:*:nL3N1ZF1D6 
    ** That came a day after after China's exports unexpectedly
fell the most in two years in December, while imports also
contracted, pointing to further weakness in the world's
second-largest economy in 2019 and deteriorating global demand.
 urn:newsml:reuters.com:*:nL3N1ZE1RI    
    ** Around the region, MSCI's Asia ex-Japan stock index
 .MIAPJ0000PUS  was firmer by 1.33 percent, while Japan's Nikkei
index  .N225  closed up 0.96 percent.
    ** At 07:19 GMT, the yuan  CNY=CFXS  was quoted at 6.7532
per U.S. dollar, 0.2 percent firmer than the previous close of
6.767. 
    ** The largest percentage gainers on the main Shanghai
Composite index were shares of Ningbo Haitian Precision
Machinery Co Ltd  601882.SS , up 10.07 percent, followed by
Pengqi Technology Development Co Ltd  600614.SS , gaining 10.07
percent and Pengqi Technology Development Co Ltd  900907.SS , up
10.05 percent.
    ** The largest percentage losers on the Shanghai index were
stocks of Zoy Home Furnishing Co Ltd  603709.SS  down 10.01
percent, followed by Zhongchang Big Data Corp Ltd  600242.SS 
losing 9.99 percent and Wuhan Bester Group Telecom Co Ltd
 603220.SS  down 9.11 percent.
    ** The Shanghai stock index is up 3.1 percent and the CSI300
has risen 3.9 percent , while China's H-share index listed in
Hong Kong is up 3.5 percent. Shanghai stocks have risen 3.07
percent this month. 
    ** About 16.03 billion shares were traded on the Shanghai
exchange, roughly 117.3 percent of the market's 30-day moving
average of 13.66 billion shares a day. The volume in the
previous trading session was 14.48 billion.
    ** As of 07:20 GMT, China's A-shares were trading at a
premium of 18.18 percent over the Hong Kong-listed H-shares.

 (Reporting by Shanghai Newsroom; Editing by Rashmi Aich)
 ((luoyan.liu@thomsonreuters.com; Reuters Messaging:
luoyan.liu.thomsonreuters.com@reuters.net))