China shares rise on better-than-expected June retail sales data

JD Health International

15/07/2021 05:50

* SSEC +0.23%, CSI300 +0.45%, HSI +1.22%
    * China June retail sales grows faster than expected
    * Q2 economy expands slower than expected

    SHANGHAI, July 15 (Reuters) - China stocks rose on Thursday
with liquor makers and banks leading gains, as investors cheered
stronger retail sales in June while expecting an easier policy
stance from the central bank to support an economic recovery.
** At the midday break, the Shanghai Composite index  .SSEC  was
up 0.23% at 3,536.71 points. 
 
** China's blue-chip CSI300 index  .CSI300  was up 0.45%, with
the banking sector sub-index  .CSI000947  rising 2.12% and the
consumer staples sector  .CSI000912  up 1.47%. 

** Shanxi Xinghuacun Fen Wine Factory  600809.SS  surged 4.9%
while shares of Tsingtao Brewery  600600.SS  gained 4.7% in
Shanghai.    
        
** The real estate index  .CSI000952  was up 1.1%, while the
healthcare sub-index  .CSI300HC  was down 0.83%.
   
** China's economy grew less than expected in the second
quarter, as slowing manufacturing activity, higher raw material
costs and new COVID-19 outbreaks weighed on the recovery
momentum. But year-on-year June retail sales growth was more
than expected.  L1N2OR054 
    
** "Our greater concern is the uneven recovery that we've seen
so far, and for China the recovery in domestic consumption is
very important ... retail sales this month was fairly strong and
that may allay some concerns," said UOB economist Woei Chen Ho
in Singapore.    
    
** Investors are watching the central bank for a shift to an
easier policy stance after the People's Bank of China cut the
amount of cash that banks must hold as reserves with effect from
Thursday.         
 
** Chinese H-shares listed in Hong Kong  .HSCE  rose 1.39% to
10,205, while the Hang Seng Index  .HSI  was up 1.22% at
28,126.52. 
 
** The smaller Shenzhen index  .SZSC  was down 0.69%, the
start-up board ChiNext Composite index  .CNT  was weaker by
0.29% and Shanghai's tech-focused STAR50 index  .STAR50  was
down 0.87%​.
 
** Around the region, MSCI's Asia ex-Japan stock index
 .MIAPJ0000PUS  was firmer by 0.65% while Japan's Nikkei index
 .N225  was down 0.95%.
 
** The yuan  CNY=CFXS  was quoted at 6.4655 per U.S. dollar,
0.05% firmer than the previous close of 6.469. 

 (Reporting by Shanghai Newsroom; editing by Vinay Dwivedi)
 ((zoey.zhang@thomsonreuters.com))