Chinese shares rise for seventh day

(Xinhua)
Updated: 2009-09-09 18:48

BEIJING: Chinese equities rose for the seventh day, up 0.54 percent Wednesday.

The benchmark Shanghai Composite Index rose 0.54 percent, or 15.78 points to finish at 2,946.26.

The Shenzhen Component Index rose 1.04 percent, or 123.89 points, to end at 12,047.22.

Combined turnover rose to 248.45 billion yuan ($36.38 billion) from 232.10 billion yuan on the previous trading day.

Gainers outnumbered losers by 434 to 408 in Shanghai and 426 to 304 in Shenzhen.

Metal companies led the gains after copper prices rallied in New York Tuesday.

Jiangxi Copper Co., the country's biggest copper producer, rose 6.20 percent to 40.08 yuan. Shenzhen Zhongjin Lingnan Nonfemet Company Limited (NONFEMET), a large State-owned enterprise specializing in non-ferrous metals, soared almost 10 percent or the daily limit to 26.54 yuan.

Wine companies led losses after Wuliangye Yibin Co., Ltd., one of China's top liquor makers said it was under investigation.

The company said the China Securities Regulatory Commission was investigating it for suspected violations of the Security Law. Its shares dived 6.22 percent to 22.60 yuan. Other wine companies followed suit.

Banks and real estate stocks were sluggish. Industrial and Commercial Bank of China Ltd., the nation's biggest listed lender, dropped 0.61 percent to 4.87 yuan. China Vanke Co., the country's biggest listed property developer, dropped 0.52 percent to 11.37 yuan.

Analysts said investors have been encouraged by the government's intention to stimulate the economy.

Chen Deming, minister of Commerce, Tuesday said China would relax limits on equity stake proportions in investment from overseas companies, allowing qualified foreign-invested enterprises to list on stock markets.