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China: Shares rise on news that IPOs will resume soon

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China stocks steadied on Tuesday after falling more than 2 per cent in the previous session, as the central bank vowed to maintain reasonable credit growth and keep the yuan stable.

[SHANGHAI] China stocks closed up on Monday, as investors welcomed Friday evening's announcement by the securities regulator that initial public offerings (IPOs) would resume in the next several weeks.

After a lull of more than three months and the market now up over 20 per cent from its September low, regulators appear to have concluded that sentiment has recovered sufficiently to permit some additional supply of shares.

The CSI300 index of the largest listed companies in Shanghai and Shenzhen rose 1.2 per cent, to 3,840.35, while the Shanghai Composite Index gained 1.6 per cent, to 3,646.88 points.

Total turnover of A shares traded in Shanghai was 50.2 billion lots, while Shenzhen volume was 42.2 billion lots.

REUTERS