国产热热热精品,亚洲视频久久】日韩,三级婷婷在线久久,99人妻精品视频,精品九热人人肉肉在线,AV东京热一区二区,91po在线视频观看,久久激情宗合,青青草黄色手机视频

Economy

Markets

Industries

Insights

Reports

Events

Blue chips lead sharp rally on mainland

(China Daily/Agencies)
Updated: 2008-06-26 11:20

Blue chips led mainland shares sharply higher and turnover rose yesterday because of a growing view that the market's bear run may finally have left valuations at reasonable levels.

The Shanghai Composite Index ended up 3.64 percent at 2905.014 points, near its intra-day high of 2910.481, after gaining 1.54 percent on Tuesday. It was the highest close in a week, leaving the index 53 percent below last October's peak. Over 60 Shanghai shares rising to their 10 percent daily limits.

Turnover in Shanghai A shares expanded to 67.2 billion yuan ($9.77 billion), still modest but up from Tuesday's 49.7 billion yuan.

China Life Insurance surged 4.42 percent to 26.91 yuan while property giant Vanke climbed 3.52 percent to 9.68 yuan, which traders took as further signs that some funds had resumed buying blue chips in response to valuations.

As the index sank to fresh 16-month lows in the past week, several brokerages and investment banks issued reports saying valuations should support a market rally in the second half of this year.

"There is value emerging, even in the A-share market. For 2009 consensus earnings, Shanghai is now trading at 14 times, comparable to H shares and red chips in Hong Kong," Jonathan Schiessl, manager of the Ashburton Chindia Fund, said in a report on Tuesday.

"With foreign investors capitulating, short levels extremely high and the absence of a single China bull, it would not take much to turn things around."

And the China Securities Journal reported on its front page on Tuesday that the average historic price/earnings ratio for A shares in Shanghai and Shenzhen had dropped to 23.51 times, not far from the 19.96 times hit during the stock market slump in mid-2005. It quoted analysts as saying this suggested value had reappeared in mainland stocks.

HK shares up

Hong Kong shares snapped a four-day losing streak to rise 0.6 percent in yesterday's truncated session, but gains were capped by a 2.6 percent drop in shares of the Hong Kong Exchanges and Clearing (HKEx).

The local market opened for trade at local time 14:30 after typhoon signal No 8, hoisted last night, was lowered.

The Hang Seng Index unofficially closed 133.25 points higher at 22589.27.

Shares in HKEx, Asia's largest listed bourse operator, slid to their lowest level this year as analysts warned turnover would peter out in coming months.

The average daily turnover has dropped from HK$88 billion to HK$65 billion in the last 10 trading sessions.