China H-shares set to soar 33% by year-end: Deutsche Bank

Sydney

CHINESE stocks trading in Hong Kong will surge 33 per cent by the end of this year as stronger fiscal stimulus on the mainland revives economic growth, Deutsche Bank AG said.

The Hang Seng China Enterprises Index will climb to 13,000 before the end of 2015, Hong Kong-based strategists Yuliang Chang and Joseph Huo wrote in a report. China Construction Bank Corp and Ping An Insurance Group Co, firms with earnings closely tied to the capital markets, were listed among the bank's top picks. The gauge of so-called H-shares closed at 9,780.16 on Thursday and dropped 0.63 per cent to 9,718.28 on Friday.