Money

Equities up as stimulus may stay

(China Daily)
Updated: 2010-03-09 10:31

SHANGHAI - The mainland's stocks rose for a second day on the prospect the government may delay withdrawing stimulus to support the economy and won't announce additional measures to crack down on the property market.

Baoshan Iron & Steel Co advanced 2.9 percent and China Shenhua Energy Co gained 1.3 percent after central bank Governor Zhou Xiaochuan said the nation should be careful in exiting anti-crisis policies. Cosco Shipping Co climbed 2.8 percent as Citic Securities Co recommended buying the shares.

Poly Real Estate Group Co led developers higher on a report that a government document didn't mention a property tax.

The Shanghai Composite Index added 22.17, or 0.7 percent, to 3053.23 at the close. The CSI 300 Index rose 0.8 percent to 3286.18 on Monday.

"It's a good opportunity to be very bullish on China," said Larry Pohlman, who helps oversee about $21 billion as chief investment officer at Alfred Berg. "Year to date, it's underperformed probably almost all the other emerging-market countries. It's really cheap."

While Hong Kong's Hang Seng Index gained 2 percent to close at 21196.87, set for its highest close since Jan 20.