China Drugmakers Gain to 4-Month High on Reports of Tick Deaths, Superbug
Chinese drugmakers rose to the highest in four months after Xinhua News reported deaths in China’s central Henan province from tick-borne disease and a Health Ministry alert against a drug-resistant bacteria.
Shandong Lukang Pharmaceutical Co., a Chinese antibiotic maker, jumped by the 10 percent daily limit in Shanghai as of 10:01 a.m. local time. North China Pharmaceutical Co. climbed 5.2 percent to 11.18 yuan, the biggest increase since May 27.
A measure of healthcare-related stocks had the biggest gain among the 10 industry groups on the CSI 300 Index and rose to the highest since April 27. The benchmark Shanghai Composite Index slid 0.4 percent to 2,685.48.
“The tick deaths certainly provided a trigger for today’s gains in healthcare stocks, which may benefit from increased demand,” said Liu Bin, Shanghai-based analyst at Guoyuan Securities Co., in a phone interview.
To contact the reporter on this story: Chua Kong Ho in Shanghai at email@example.com
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