Most Chinese Stocks Rise After Inflation Data; Developers Drop
By Weiyi Lim - May 10, 2012 10:55 PM ET
Most Chinese stocks rose, led by banks, as slowing inflation bolstered the scope for the central bank to loosen monetary policy. Developers declined after Soufun Holdings Ltd., a real estate website owner, said the nation may continue its property curbs this year.
Three stocks gained for each one that fell in the Shanghai Composite Index (SHCOMP), which advanced 0.2 percent to 2,414.66 as of 10:52 a.m. in Shanghai. The CSI 300 Index (SHSZ300) gained 0.3 percent to 2,665.05. Shanghai Pudong Development Bank Co. rose 0.7 percent. Poly Real Estate Group Co., the nation’s second-largest publicly traded developer, dropped 0.3 percent.
Government data showed growth in China’s consumer prices slowed to 3.4 percent in April from 3.6 percent the previous month. Inflation stayed below the government’s 4 percent annual goal for a third month. The Shanghai Composite has climbed 9.8 percent this year on expectations the government will relax monetary policies and take more measures to bolster equities.
“The central bank will probably cut the reserve ratio requirement this weekend or the latest by next weekend,” Chen Liqiu, a strategist at Jianghai Securities Co. in Shanghai, said by phone today. “The requirement is still a bit high and it appears that inflation could ease further in the next two months. This is a boost to stocks.”
The Bloomberg China-US 55 Index (CH55BN), the measure of the most- traded U.S.-listed Chinese companies, fell 0.3 percent to 98.39, the weakest close since Jan. 24 in New York yesterday.
发表于 2012-5-10 23:33
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