Strong finish for Chinese shares

Cao Qian
All three major indexes close in positive territory as semiconductor shares lead the gains with overall growth of 3.66 percent and new-energy vehicle firms perform well.
Cao Qian

Shares finished strong on Monday with all three major indexes closing in positive territory.

The benchmark Shanghai Composite Index jumped 0.75 percent to 3,115.57 points, the smaller Shenzhen Component Index jumped 1.47 percent to 11,040.20 points and the ChiNext Composite Index advanced 1.62 percent to a 33-month high of 1,935.07 points.

Turnover on the Shanghai bourse stood at 258.52 billion yuan (US$37.37 billion), compared with Friday's 241.6 billion yuan.

Semiconductor shares led the gains with an overall growth of 3.66 percent. Six companies, including Bomin Electronics, NAURA Technology Group and Jiangsu Jiejie Microelectronics Co, rose by the daily limit of 10 percent.

New-energy vehicle firms also registered strong performances following remarks at the weekend by Miao Yu, the industry and information technology minister, that government policy on subsidies for new-energy vehicles would largely remain stable this year with no further cuts expected after July.

Chinese electric carmaker BYD surged 10 percent to close at 51.61 yuan while BAIC BluePark New Energy Technology Co also soared by the daily limit to 6.69 yuan.

Companies related to the free trade zone in Fujian Province suffered the largest setbacks, posting an overall decline of 2.94 percent. Zhongfu Straits (Pingtan) Development fell 9.97 percent to 3.07 yuan and Xiamen Port Development was down 9.36 percent to 7.55 yuan.

Heavyweight segments, including banks, insurers and securities firms, all performed well, up 0.38 percent, 0.32 percent and 1.49 percent, respectively.

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