Tech shares drive China stocks higher; HK shares flat

plenum AG

09/07/2024 09:17

(Updates to market close)
       SHANGHAI, July 9 (Reuters) - China stocks closed higher
on Tuesday, led by tech shares, as investors await the highly
anticipated 'Third Plenum' meeting where some stimulus measures
are expected to be announced, while Hong Kong shares closed
roughly flat. 
    ** The CSI information technology index  .CSIINT  jumped
3.7%, leading China stocks higher.
    ** Trading turnover has fallen, mutual fund issuance has
cooled, and northbound outflows have appeared, UBS analysts said
in a note.
    ** "But from here, we think the downside is limited.
Underpinning A-shares are the government's repeated assurances
this year that it would safeguard capital markets," UBS analysts
said. 
    ** China's new yuan loans likely more than doubled in June
from May, a Reuters poll showed on Tuesday, as the central bank
kept up policy support for the economy amid a shaky recovery.
    ** China's Communist Party will hold a long-delayed third
plenum from July 15-18, where some fiscal and financial reform
measures are likely to be revealed.  
    ** At the close, the Shanghai Composite index  .SSEC  was up
1.26% at 2,959.37.
        ** The blue-chip CSI300 index  .CSI300  was up 1.12%,
with its financial sector sub-index  .CSI300FS   higher by
0.94%, the consumer staples sector  .CSI000912  up 0.35%, the
real estate index  .CSI000952  up 0.28% and the healthcare
sub-index  .CSI300HC  up 0.35%.
  
        ** The smaller Shenzhen index  .SZSC  ended up 1.74% and
the start-up board ChiNext Composite index  .CNT  was higher by
1.434%.
  
        ** Around the region, MSCI's Asia ex-Japan stock index
 .MIAPJ0000PUS  was firmer by 0.45%, while Japan's Nikkei index
 .N225  closed up 1.96%.
  
        ** At 07:32, the yuan  CNY=CFXS  was quoted at 7.2718
per U.S. dollar, 0.05% weaker than the previous close of 7.268. 
  
        ** At the close of trade, the Hang Seng index  .HSI  
was down 20.14 points or 0.11% at 17,443.15. The Hang Seng China
Enterprises index  .HSCE  fell 0.26% to 6,247.88.
  


 (Reporting by Shanghai Newsroom; Editing by Rashmi Aich and
Janane Venkatraman)
 ((li.gu@tr.com))