Trade talk hopes boost stocks

China stocks skyrocketed on Friday on hopes of possible progress in negotiations over the China-US trade.

The benchmark Shanghai Composite Index surged 1.42 percent to end at 2,596.01 points, with turnover expanding to 151.2 billion yuan (US$22.33 billion) from 127.5 billion yuan on Thursday.

The smaller Shenzhen Component also jumped sharply by 1.49 percent to 7,581.39 points, and the bluechip CSI300 index closed 1.82 percent higher at 3,168.17 points.

Almost all sectors posted gains. Stocks of 34 companies listed on the A-share markets soared by the daily limit of 10 percent.

Chinese Vice Premier Liu He will visit the United States on January 30 and 31 for the latest round of trade talks, a spokesman for China's Ministry of Commerce said on Thursday.

Stocks related to "Peppa Pig" performed strongly after a trailer for an upcoming movie was released and went viral on social media. BanBao Co jumped 6.26 percent after its chairman Wu Dinghui said the company had obtained authorization for Peppa Pig toys' global manufacturing and sale in China. Alpha Group rose 5.11 percent, and Omnijoi Media Corporation was up 2.41 percent.

Non-ferrous metal shares were also among the biggest gainers. JiaoZuo WanFang Aluminum Manufacturing Co and Sichuan Hongda Co both surged by the 10 percent daily cap. 

Guangdong Rongtai Industry Co also gained the maximum 10 percent, as it is planning to acquire equitiy in Nengtong Technology Co, a company focusing on 5G cloud data centers.

Iron and steel companies, pharmaceutical shares, and food and beverage stocks also led the increase. 

The Shanghai Composite Index posted a weekly gain of 1.65 percent, marking its rise for three consecutive weeks.