You are here
China: Stocks rise despite weak trade data; coal, property shares jump
[SHANGHAI] China shares rose on Monday, as a surge in coal stocks and sustained interest in property shares ignited by drama involving a major developer offset the impact of worse-than-expected trade data.
Both China's blue-chip CSI300 index and the Shanghai Composite Index climbed 0.9 per cent, to 3,234.18 points and 3,004.28 points, respectively.
On the macro front, China's exports and imports fell more than expected in July, making a rocky start for the third quarter and suggesting global demand remains weak.
But market sentiment was lifted by a surge in coal stocks, after reports that borrowings by seven major coal miners in Shanxi will be rolled over to medium- to long-term special loans, as the government aids the struggling sector.
Major coal miners including Xishan Coal and Electricity Power, Luan Environmental Energy and Yanzhou Coal all jumped 10 per cent.
Meanwhile, the real estate sector maintained strong upward momentum, gaining 2.4 per cent, as drama and share acquisitions involving Vanke continued to stir excitement.
Vanke, which soared around 17 per cent the past two sessions on news of share purchases by rival Evergrande, surged another 4.4 per cent.