Shanghai shares end 2-day drop
Shanghai stocks rebounded today, ending a two-day drop, boosted by the central government’s plan for more sustainable growth at the on-going 19th National Congress.
The Shanghai Composite Index gained 0.29 percent to close at 3,381.79 points.
Industries “expected to benefit from the central government’s pledges at the 19th National Congress” helped lift investor sentiment, said Kang Shuiyue, chief investment officer of Danyang investment.
“Companies related to policies such as state-owned enterprise reform and industrial upgrading would be the first to rebound and reap more growth,” Kang added.
PetroChina Co added 2.48 percent to 8.25 yuan (US$1.25), while Zhejiang Tuna Environmental Science & Technology Co, an environmental protection equipment producer, rose 4.98 percent to 24.47 yuan.
At the congress, topics such as “a shift from high-speed growth to high-quality growth”, environmental protection and structural reforms are expected to buoy investor sentiment and draw more investment into relevant sectors, said Nomura in a report.