 Shipyard shares gain amid weak index
(China Daily)
Updated: 2009-02-13 07:51
 China's stocks dropped the most in three weeks as slumping energy and metal prices drove raw material producers lower, outweighing gains by companies receiving government support. China Shenhua Energy Co, the nation's largest coal producer, slid 4.3 percent after crude oil traded close to a one-month low, while Jiangxi Copper Co retreated 3.7 percent. Guangzhou Shipyard International Co and China State Shipbuilding Co jumped by the 10 percent daily cap after the government announced plans to boost the shipbuilding industry. The Shanghai Composite Index, which tracks the bigger of China's stock exchanges, lost 12.73, or 0.6 percent, to 2,248.09 at the close, the most since Jan 23. The index earlier fell as much as 3.1 percent. The gauge has gained 23 percent this year, the world's best performer, as the government rolled out plans to boost industries from automakers to textiles and encouraged banks to increase lending. "Up till now, we've only had expectations things will get better, but the economic outlook hasn't changed much," said Wang Zheng, a fund manager at Jingxi Investment Management Co in Shanghai. The CSI 300 Index, measuring exchanges in Shanghai and Shenzhen, lost 0.6 percent to 2,318.34. The Shenzhen Composite Index rose 0.9 percent to 723.12. Speculation the measures would boost earnings has lured investors back to the nation's equities after a global recession drove markets lower last year. The Shanghai and Shenzhen stock exchanges handled a combined 32 billion shares yesterday. HSI falls Hong Kong stocks fell for a second day yesterday, led by banks, on concern US measures to ease the financial crisis won't be enough to revive the world's largest economy. Bank of East Asia Ltd lost 6.6 percent, leading drops among financial companies. "All the US government is doing is delaying the ultimate reckoning," said Pauline Dan, chief investment officer at Samsung Investment Management Hong Kong Ltd, a unit of Samsung Investment Trust Management Co. The Hang Seng Index dropped 310.91, or 2.3 percent, to 13,228.30, adding to a 2.5 percent decline on Wednesday. The Hang Seng China Enterprise Index, which tracks so-called H-shares, slipped 3.1 percent to 7,367.56. Agencies
 (China Daily 02/13/2009 page15) |
