China Market gains on upbeat China data

The China share market closed session higher on Tuesday, 30 June 2020, as investors sentiments lifted by better-than-expected manufacturing data and government announcement of a cross-border wealth management scheme linking Hong Kong, Macau, and their neighbouring cities on the mainland.

At closing bell, the benchmark Shanghai Composite Index added 0.78%, or 23.16 points, to 2,984.67. The Shenzhen Composite Index, which tracks stocks on China's second exchange, rose 1.88%, or 36.40 points, to 1,975.52. The blue-chip CSI300 index gained 1.32%, or 54.24 points, to 4,163.96.

China markets got a boost after an official survey on China's vast factory sector showed activity quickened last month, defying expectations for a modest slowdown. China manufacturing sector continued to expand in June, and at a slightly faster rate, the latest survey from the National Bureau of Statistics showed on Tuesday with a manufacturing PMI score of 50.9, up from 50.6 in May. It also moves further above the boom-or-bust line of 50 that separates expansion from contraction. The bureau also noted that its non-manufacturing index came in with a score of 54.4, up from 53.6 in the previous month.

The market shrugged off news that China's parliament passed national security legislation for Hong Kong. China's parliament passed national security legislation for Hong Kong on Tuesday, a day after Washington moved to suspend Hong Kong's preferential treatment under the U.S. law. Pro-democracy activists and some western governments expects the law will erode Hong Kong's high degree of freedom.

Shares of Hainan-based companies especially free-duty operators advanced after Beijing revealed Monday various new measures to support building the island into a free-trade port. The maximum amount of free-duty shopping was raised to 100,000 yuan per person, and free-duty categories were also expanded, with electronic products included. China Tourism Group Duty Free Corp. soared by the daily cap of 10%, as did HNA Infrastructure Investment Group.

Powered by Capital Market - Live News