China Stocks: CSR, Eastern Airlines, Guanhao High-Tech, Vanke
Shares of the following companies had unusual moves in China trading. Stock symbols are in parentheses and prices are as ofthe 11:30 a.m. local-time break.
The Shanghai Composite Index, which tracks the bigger of China’s stock exchanges, gained 0.4 percent to 2,560.12. The CSI 300 Index (SHSZ300) rose 0.8 percent to 2,845.42.
Air, rail stocks: China Eastern Airlines Corp. (600115 CH), the nation’s second-largest carrier, jumped 8.7 percent to 5.5 yuan, poised for the biggest gain since July 26. Air China Ltd. (601111) (601111 CH), the world’s largest carrier by market value, rose 4.7 percent to 9.4 yuan. China Southern Airlines Co. (600029 CH), the nation’s biggest carrier by fleet size, advanced 5.5 percent to 8 yuan.
China will suspend approvals on new railway projects and conduct safety checks on all current projects after a deadly train crash last month. The government said it will also reduce the speed of some high-speed rail lines that recently started operating. CSR Corp. (601766 CH), the nation’s biggest train maker, fell 3 percent to 5.21 yuan, set for the lowest close since September 9.
Developers: China Vanke Co. (000002 CH), the nation’s biggest listed property developer, rose 1.8 percent to 8.59 yuan, set for the highest close since July 13. Poly Real Estate Group Co. (600048 CH), the second largest, increased 1.6 percent to 11.18 yuan. Gemdale Corp. (600383) (600383 CH) climbed 2.4 percent to 6.5 yuan.
Some local Chinese governments have resisted the expansion of restrictions on home purchases to their jurisdictions, with only about 10 cities agreeing to limits, the 21st Century Business Herald reported today, citing unidentified people close to the Ministry of Housing and Urban-Rural Development.
Guangdong Guanhao High-Tech Co. (600433 CH), a Zhanjiang- based paper product manufacturer, surged by its 10 percent daily limit to 8.8 yuan, on course for the biggest gain since February 14. The company has got approval from China Securities Regulatory Commission to sell A shares in a private placement, according to its statement to Shanghai Stock Exchange today.
ZTE Corp. (000063) (000063 CH), China’s second-biggest phone- equipment maker, fell 6.9 percent to 17.88 yuan, poised for the lowest close since Aug. 13, 2010. The company said in a preliminary earnings statement its first-half net income fell 12 percent from a year earlier to 768.5 million yuan ($120 million).
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