Markets

China's stocks rise to 7-month high

(Xinhua)
Updated: 2010-11-04 15:30

BEIJING - China's stocks rose to a seven-month high Thursday on the back of gains of raw-material producers.

The benchmark Shanghai Composite Index climbed 1.85 percent, or 55.95 points, to close at 3,086.94.

The Shenzhen Component Index gained 1.52 percent, or 203.03 points, to finish at 13,595.73.

Combined turnover fell to 388.9 billion yuan ($58.04 billion) from 415.84 billion yuan the previous trading day.

Gainers outnumbered losers 826 to 60 in Shanghai and 1001 to 94 in Shenzhen.

The US Federal Reserve said Wednesday it would buy an extra $600 billion of Treasuries through till June 2011 to stimulate its economic recovery.

Raw-material producers paced advances Thursday on speculation that the Fed's move may drive up demand for bulk commodities as a hedge against inflation.

China Petroleum and Chemical Corp, Asia's biggest oil refiner, also known as Sinopec, gained 1.76 percent to 9.24 yuan per share. Its rival China National Petroleum Corp, or PetroChina, jumped 3.66 percent to 11.89 yuan.

Coal miners posted gains Wednesday with the whole board rising 2.96 percent after reports saying coal prices would continue to rise nationwide as low temperatures boost demand for heating. Coal prices rose 30 to 50 yuan per ton on Wednesday -- the highest level in nine months.

Datong Coal Co, China's third-largest coal miner by capacity, gained 2.39 percent to 25.29 yuan while Yanzhou Coal Mining Co, the listed branch of the country's fourth-largest coal producer, rose 4.57 percent to 30.67 yuan.