Hopes of solid profit reports lift key index
By Lydia Chen |
March 26, 2011, Saturday
|
Print Edition
Print Edition
SHANGHAI'S key stock index yesterday rose to the highest in more than two weeks, led by cement makers, banks and coal firms.
The Shanghai Composite Index gained 1.1 percent to end at 2,977.81, the highest since March 9. The benchmark advanced 2.4 percent this week, the first gain in three weeks.
Banks rose as investors took comfort from their better-than-expected earnings.
The Bank of China climbed 1.8 percent to 3.35 yuan. BOC, the country's third-largest lender, reported its net profit jumped 29 percent to nearly US$15.9 billion, beating analysts' estimates of 20 percent. China Merchants Bank Co added 2.1 percent to 14.30 yuan.
Analysts have long favored lenders, which have been undervalued as they are normally in the front line of the government's frequent monetary tightening measures to curb rising inflation. But their growth prospects are bright.
Other big-cap lenders - the Industrial and Commercial Bank of China, China Construction Bank Corp and the Agricultural Bank of China - may see their share price rise further in anticipation of solid earning reports due to be released by the end of this month.
Coal firms rose on hopes of good earnings reports. China Shenhua Energy Co added 2.5 percent to 29.19 yuan.
The State Council, China's Cabinet, has approved a plan by the China National Coal Association to set up a national-level coal reserve pool. The pool may hold 5 million tons this year before rising to 20 million tons, said Wang Zhanjun, head of the association.
The Shanghai Composite Index gained 1.1 percent to end at 2,977.81, the highest since March 9. The benchmark advanced 2.4 percent this week, the first gain in three weeks.
Banks rose as investors took comfort from their better-than-expected earnings.
The Bank of China climbed 1.8 percent to 3.35 yuan. BOC, the country's third-largest lender, reported its net profit jumped 29 percent to nearly US$15.9 billion, beating analysts' estimates of 20 percent. China Merchants Bank Co added 2.1 percent to 14.30 yuan.
Analysts have long favored lenders, which have been undervalued as they are normally in the front line of the government's frequent monetary tightening measures to curb rising inflation. But their growth prospects are bright.
Other big-cap lenders - the Industrial and Commercial Bank of China, China Construction Bank Corp and the Agricultural Bank of China - may see their share price rise further in anticipation of solid earning reports due to be released by the end of this month.
Coal firms rose on hopes of good earnings reports. China Shenhua Energy Co added 2.5 percent to 29.19 yuan.
The State Council, China's Cabinet, has approved a plan by the China National Coal Association to set up a national-level coal reserve pool. The pool may hold 5 million tons this year before rising to 20 million tons, said Wang Zhanjun, head of the association.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
