China shares end higher on industrial profits, tech rebound

Credit: REUTERS/ALY SONG

China shares closed higher on Thursday, lifted by new data showing industrial profits rose in July, and as tech firms resumed a rally sparked by reforms to the country's tech-heavy ChiNext board.

Shanghai Composite +0.61%, CSI300 +0.54%

ChiNext rises 1.7%, CSI tech sub-index up 2.34%

China industrial profits rise faster than expected in July

SHANGHAI, Aug 27 (Reuters) - China shares closed higher on Thursday, lifted by new data showing industrial profits rose in July, and as tech firms resumed a rally sparked by reforms to the country's tech-heavy ChiNext board.

** At the close, the Shanghai Composite index .SSEC was up 0.61% at 3,350.11. The blue-chip CSI300 index .CSI300 was up 0.54%.

** The smaller Shenzhen index .SZSC closed 1.04% higher on Thursday.

** Profits at China's industrial firms grew for a third straight month in July and at the fastest pace since June 2018, data from the National Bureau of Statistics (NBS) showed on Thursday.

** That helped a CSI300 sub-index tracking industrial firms .CSI00910 rise 1.03%.

** Tech shares also bounced from the previous day's slump, with the ChiNext Composite index .CNT ending 1.7% higher. The STAR 50 index of companies on China's tech-focused STAR Market .STAR50 jumped 2.48%.

** The ChiNext board has rallied 2.16% this week on investor enthusiasm for relaxation of its listing and trading rules.

** Around the region, MSCI's Asia ex-Japan stock index .MIAPJ0000PUS was firmer by 0.38%, while Japan's Nikkei index .N225 closed down 0.35%.

** At 07:10 GMT, the yuan CNY=CFXS was quoted at 6.8845 per U.S. dollar, 0.01% firmer than the previous close of 6.8855.

** The largest percentage gainers in the main Shanghai Composite index were Whirlpool China Co Ltd 600983.SS, up 10.06%, followed by Shanghai Industrial Development Co Ltd 600748.SS, gaining 10.04% and Zhejiang Shapuaisi Pharmaceutical Co Ltd 603168.SS, up by 10.01%.

** So far this year, the Shanghai stock index is up 9.8% and the CSI300 has risen 15.5%, while China's H-share index listed in Hong Kong is down 8.8%. Shanghai stocks have risen 1.21% this month.

(Reporting by Andrew Galbraith; Editing by Shailesh Kuber)

((Andrew.Galbraith@tr.com; +86 21 2083 0079; Reuters Messaging: andrew.galbraith.thomsonreuters.com@reuters.net ; Twitter: https://twitter.com/apgalbraith))

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