China Market rises 1.6%

18 Jul 2022 , 05:11 PM

Mainland China share market finished session modestly higher on Monday, 18 July 2022, with financials and realty shares leading gains on the back of central bank governor pledge of strong support for the economy and regulators urged lenders to extend loans to qualified real estate projects following a widening mortgage-payment boycott on unfinished houses. At close of trade, the benchmark Shanghai Composite Index advanced 1.55%, or 50.04 points, to 3,278.10. The Shenzhen Composite Index, which tracks stocks on Chinas second exchange, added 1.48%, or 31.96 points, to 2,191.96. The blue-chip CSI300 index was up 1.04%, or 44.06 points, to 4,292.59. PBOC Governor Yi Gang pledged that the central bank will increase implementation of prudent monetary policy to support the real economy, which is facing downward pressure due to COVID-19 and external shocks. Chinese regulators on Sunday urged banks to extend loans to qualified real estate projects and meet developers financing needs where reasonable, in an effort to ease concerns triggered by a widening mortgage-payment boycott on unfinished houses. CURRENCY NEWS: Chinas yuan appreciated against the U.S. dollar, as firmer mid-point fixing by central bank. Prior to market opening, the Peoples Bank of China (PBOC) set the midpoint rate CNY=PBOC at 6.7447 per dollar, 56 pips firmer than the previous fix 6.7503. In the spot market, the onshore yuan CNY=CFXS was changing hands at 6.7463 at midday, 117 pips firmer than the previous late session close. Powered by Capital Market – Live News