Blue chips lead Shanghai index to 3.05% gain

By Ding Yining  |   2008-11-14  |     ONLINE EDITION

SHANGHAI’S key stock index surged more than 3 percent in the last trading day of the week as blue chips led the surge.

The benchmark Shanghai Composite Index climbed 3.05 percent, or 58.83 points, to close at 1,986.44 points. The Shanghai index gained 13.66 percent, or 238.73 points, this week.

A total of 867 shares gained, four dropped and 37 did not change today. Turnover was 87.9 billion yuan (US$12.9 million).

The Shenzhen Composite Index, which tracks the smaller domestic market, advanced 4.35 percent, or 22.76 points, to 545.34 points. Turnover was 40.0 billion yuan.

Liu Xinhua, assistant chairman of the China Securities Regulatory Commission, said in Beijing yesterday that a series of financial and monetary policies recently announced meet the needs of the market in this difficult economic climate and were starting to play a positive role.

PetroChina, the biggest index component, added 2.22 percent to 11.52 yuan. China Pacific Insurance (Group) Co Ltd advanced 4.13 percent to 13.36 yuan.

Real estate developers continued to perform well. Beijing Capital Development Co Ltd surged the daily cap of 10 percent. Shanghai Shimao Co Ltd jumped 7.12 percent to 5.72 yuan. Shanghai Lujiazui Finance & Trade Zone Development Co Ltd rallied 9.58 percent to 13.84 yuan.

Haitong Securities surged 10 percent to close at 14.78 yuan after its plan to set up an assessment management project was approved by the CSRC. Citic Securities, the country's largest brokerage, advanced 4.88 percent to 21.05 yuan.

“Investors are likely to take profits in the coming week since prices have surged this week and fluctuations are likely in the near future,” according to a research note by Shenyiin & Wanguo Securities Co.

The energy sector also gained today. China Coal Energy Co Ltd was up 4.88 percent to 7.74 yuan. Shanxi Guoyang New Energy Co Ltd rallied 8.98 percent to 11.29 yuan.