China stocks rebound as Beijing considers impact of new asset management rules
SHANGHAI, Dec 11 (Reuters) - China stocks rallied on Monday, led by consumer and healthcare firms, after Beijing said it will “fully” consider the possible impact on banks and markets before finalising its new asset management rules.
Chinese stocks tumbled last month after Beijing issued draft guidelines to tighten rules on the asset management industry, in its latest step to fend off systemic risks from the country’s rampantly growing shadow banking sector.
In a rare protest, 10 Chinese banks met last week to raise strong objections to the central bank’s plan, saying it may cause a rush of redemptions among other risks, three sources with knowledge of the matter told Reuters. The lenders hope the central bank will loosen the proposals.
** At the close, the Shanghai Composite index was up 32.25 points or 0.98 percent at 3,322.24 points. ** The blue-chip CSI300 index was up 1.65 percent, with its financial sector sub-index higher by 0.83 percent, the consumer staples sector up 3.92 percent, the real estate index up 0.54 percent and healthcare sub-index up 2.53 percent. ** The smaller Shenzhen index ended up 1.49 percent and the start-up board ChiNext Composite index was higher by 1.39 percent. ** Around the region, MSCI’s Asia ex-Japan stock index was firmer by 0.56 percent while Japan’s Nikkei index closed up 0.56 percent. ** At 07:01 GMT, the yuan was quoted at 6.6164 per U.S. dollar, 0.11 percent firmer than the previous close of 6.624. ** The largest percentage gainers in the main Shanghai Composite index were Shanghai Shibei Hi-Tech Co Ltd up 10.08 percent, followed by Shenyang Jinbei Automotive Co Ltd gaining 10.08 percent and Wenyi Suntech Co Ltd up by 10.01 percent. ** The largest percentage losses in the Shanghai index were Shanghai Diesel Engine Co Ltd down 4.77 percent, followed by Sichuan Langsha Holding Ltd losing 2.99 percent and Guanghui Energy Co Ltd down by 2.58 percent. ** So far this year, the Shanghai stock index is up 6 percent, while China’s H-share index listed in Hong Kong is up 20.2 percent. Shanghai stocks have declined 0.82 percent this month. ** About 13.20 billion shares were traded on the Shanghai exchange, roughly 75.3 percent of the market’s 30-day moving average of 17.52 billion shares a day. The volume in the previous trading session was 13.32 billion. ** As of 07:02 GMT, China’s A-shares were trading at a premium of 31.70 percent over the Hong Kong-listed H-shares. ** The Shanghai stock index is below its 50-day moving average and above its 200-day moving average. (Reporting by Luoyan Liu and John Ruwitch; Editing by Kim Coghill)