Share

China shares rise to 2015 high as financial shares gain

Hong Kong - Chinese stocks in Hong Kong headed toward an almost two-year high as rail and financial shares rallied. A measure of large caps climbed in mainland trading.

The Hang Seng China Enterprises Index rose 0.9% at the midday break. China Railway Construction was poised for its biggest gain since March, while New China Life Insurance advanced for a fifth day. Future Land Development surged 13% after unveiling a $656m take-private offer in Hong Kong.

The CSI 300 Index of mainland-traded large-cap stocks gained 1.1% to head toward the highest close since 2015, with materials companies in the lead.

Offshore-traded Chinese companies have outperformed mainland shares this year by a wide margin, as funds flowed into Hong Kong through mainland stock links, while global investors piled into technology companies as markets rose to multi-year highs.

Meanwhile, mainland shares have been dragged down by concerns over China’s deleveraging campaign and the health of smaller, non-state firms. The Shanghai Composite Index is up just 3.5% this year, compared with a 15% advance for the H-share measure. Mainland large caps have fared better, with the CSI 300 Index climbing 12% this year.

“Sentiment has been good for mainland large caps ahead of earnings announcement,” said Daniel So, a strategist with CMB International Securities in Hong Kong. Infrastructure and railway companies are playing catch up as they have been lagging the overall market, he said.

SUBSCRIBE FOR FREE UPDATE: Get Fin24's top morning business news and opinions in your inbox.

Read Fin24's top stories trending on Twitter:

We live in a world where facts and fiction get blurred
Who we choose to trust can have a profound impact on our lives. Join thousands of devoted South Africans who look to News24 to bring them news they can trust every day. As we celebrate 25 years, become a News24 subscriber as we strive to keep you informed, inspired and empowered.
Join News24 today
heading
description
username
Show Comments ()
Rand - Dollar
18.90
+0.2%
Rand - Pound
23.84
+0.3%
Rand - Euro
20.39
+0.2%
Rand - Aus dollar
12.31
+0.3%
Rand - Yen
0.12
+0.2%
Platinum
908.05
0.0%
Palladium
1,014.94
0.0%
Gold
2,232.75
-0.0%
Silver
24.95
-0.1%
Brent Crude
87.00
+1.8%
Top 40
68,346
0.0%
All Share
74,536
0.0%
Resource 10
57,251
0.0%
Industrial 25
103,936
0.0%
Financial 15
16,502
0.0%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Editorial feedback and complaints

Contact the public editor with feedback for our journalists, complaints, queries or suggestions about articles on News24.

LEARN MORE
Government tenders

Find public sector tender opportunities in South Africa here.

Government tenders
This portal provides access to information on all tenders made by all public sector organisations in all spheres of government.
Browse tenders