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Mainland stocks jump on surge in coal shares

Increase font size  Decrease font size Date:2016-10-26   Views:424
The Chinese mainland's benchmark stock index hit a two-month high on Monday, boosted by heavily weight stocks.

The benchmark Shanghai Composite Index rose 1.21 percent to close at 3,128.25 points, while the Shenzhen Component Index finished the day 0.87 percent higher at 10,842.64 points.

The CSI 300 Index of the biggest companies traded in Shanghai and Shenzhen increased 1.20 percent to close at 3,367.58 points.

The ChiNext Index, which tracks the country's NASDAQ-style board for growth enterprises, added 0.91 percent to close at 2,200.80 points.

A total of 563.90 billion yuan ($83.28 billion) in shares traded on the Shanghai and Shenzhen stock exchanges on Monday.

Almost every sector rose on Monday, with coal, plastics and brokerage stocks leading the gainers. An index tracking the coal sector surged 5.98 percent. Analysts attributed the gain in coal stocks to big positive news on Monday. First and foremost, rising market demand will boost coal consumption, experts from industry port website cctd.com.cn said.

They noted the country's power generation capacity is expected to maintain a growth rate between 6 percent and 8 percent in the fourth quarter. They added that coal consumption in the steel and building materials industries will grow faster over the rest of the year, boosted by the booming property market.
 
 
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