SHANGHAI: Chinese shares closed up on Wednesday, as investors were expecting measures to stabilise the economy after a surge in domestic COVID-19 infections.
At the close, the Shanghai Composite index .SSEC was up 0.3% at 3,271.03, rising for the sixth consecutive session. The blue-chip index gained 0.5%.
Investors have been expecting more easing moves, including possible cuts to banks’ reserve requirements, after assurances of more support by the country’s economic czar Vice Premier Liu He and other policymaking bodies last week.
Leading gains, the real estate sector sub-index rose 1.9%, while the healthcare sub-index jumped 2.48% after companies reported strong earnings.
China has been urging its people to take vaccines and carrying out mass testing to contain an outbreak of Omicron cases in its wealthiest city Shanghai, which reported a sixth straight increase in daily asymptomatic coronavirus cases.
Shares of hydrogen-related firms such as Hunan Hengguang Technology Co rose to their daily limit as the state planner unveiled production plans of hydrogen and hydrogen-fuelled vehicles by 2025.
The Hang Seng index was up 264.80 points, or 1.21%, at 22,154.08. The Hang Seng China Enterprises index .HSCE rose 1.28% to 7,635.13.
Tech firms listed in Hong Kong gained 2.05% as investors applauded Beijing’s possible concession for audit issues and the end of a criminal case against ZTE in the United States.
Chinese regulators have asked some of the country’s U.S.-listed firms, including Alibaba, Baidu and JD.com to prepare for more audit disclosures, sources said, as Beijing steps up efforts to ensure domestic companies remain listed in New York.
Hong Kong shares of ZTE Corp soared as much as 60% as trading resumed in the afternoon, while its Shenzhen shares rose nearly 10%. The telecommunications equipment maker completed five years of probation in the U.S.
The yuan was quoted at 6.3746 per U.S. dollar at 0814 GMT, 0.14% weaker than the previous close.