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Chinese shares closed 3.05 percent higher on Friday, extending a 3.68 percent gain on Thursday and tracking the huge rally on Wall Street overnight.

The benchmark Shanghai Composite Index, which covers both A and B shares, was up 58.82 points, or 3.05 percent, to close at 1,986.44. The Shenzhen Component Index rose 296.38 points, or 4.66 percent to close at 6660.41 points.

The combined turnover climbed to 127.9 billion yuan ($18.8 billion) from previous day's 115 billion yuan.

Gains outnumbered losses by 814 to 4 on Shanghai and 679 to 5 on Shenzhen.