Views Article – Sharenet Wealth

Asia, News

China stocks rise on signs of steadying economy, Hong Kong dips

SHANGHAI, Jan 20(Reuters) – China stocks rose on Monday on signs of a stabilizing domestic economy and increasing expectations of government stimulus to aid growth, while Hong Kong shares dipped.

** The CSI300 index rose 0.5% to 4,176.50 by the end of the morning session, while the Shanghai Composite Index gained 0.4% to 3,088.59.

** In Hong Kong, the Hang Seng index dropped 0.4% to 28,942.57, while the Hong Kong China Enterprises Index lost 0.2% to 11,401.63.

** China is confident of maintaining steady industrial growth this year despite big pressures facing the sector, Minister of Industry and Information Technology Miao Wei said on Monday.

** His remarks came after China’s industrial output topped expectations in December by growing 6.9% from a year earlier, the strongest pace in nine months.

** Investors also expect more government stimulus ahead after China’s economic growth cooled to a near 30-year low of 6.1% in 2019 amid a bruising trade war with the United States.

** Among shares, hotel operators and tourism firms slumped following news that an outbreak of a new coronavirus in China was spreading to other cities, raising concerns around its containment and clouding travel plans of millions of Chinese for Lunar New Year holiday.

** BTG Hotels Group Co and Shanghai Jin Jiang International Hotels Development Co tumbled over 7%, while tourism company Songcheng Performance Development Co slumped over 8%.

** Shares of drugmakers and facial mask producers such as Jiangsu Sihuan Bioengineering Co and Shandong Lukang Pharmaceutical Co jumped. (Reporting by Shanghai Newsroom; editing by Uttaresh.V)

© 2019 Thomson Reuters. All rights reserved. Reuters content is the intellectual property of Thomson Reuters or its third party content providers. Any copying, republication or redistribution of Reuters content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters. Thomson Reuters shall not be liable for any errors or delays in content, or for any actions taken in reliance thereon. "Reuters" and the Reuters Logo are trademarks of Thomson Reuters and its affiliated companies.
Array ( )