Benchmark rebounds from 7-month low

SHANGHAI - Mainland stocks rose, with the benchmark index rebounding from its lowest level in seven months, as investors speculated recent declines were overdone.

The Shanghai Composite Index rose 21.88, or 0.8 percent, to close at 2857.15 on Wednesday, reversing a loss of as much as 2.3 percent. The gauge has slumped 13 percent in 2010, Asia's worst performer.

Guangzhou Pharmaceutical Co advanced 4 percent after China International Capital Corp recommended investors "stay defensive" by holding healthcare stocks. Inner Mongolia Yili Industrial Group Co, the nations' biggest dairy producer, paced gains by consumer-related stocks. Jiangxi Copper Co and PetroChina Co led declines among raw-material producers.