Shares of the following companies had unusual moves in China trading. Stock symbols are in parentheses as of the close.
The Shanghai Composite Index, which tracks the bigger of China’s stock exchanges, fell 0.1 percent to 2,309.56. The CSI 300 Index declined 0.1 percent to 2,557.40.
Gold stocks: Zijin Mining Group Co. (601899 CH), China’s largest gold producer, rose 2.2 percent to 4.19 yuan. Shandong Gold Mining Co. (600547 CH), the second biggest, jumped 6.8 percent to 38 yuan, its highest close since Nov. 17.
The Federal Reserve is more likely to buy additional government-backed mortgage securities, also known as quantitative easing, after the pace of U.S. job creation slowed, according to Morgan Stanley and JPMorgan Chase & Co.
“Expectations about QE3 and the recent weakness in the U.S. dollar have boosted gold prices and the underlying stocks,” Chen Binghui, a metals analyst at Northeast Securities Co. in Shanghai, said by phone today. QE3 may fuel inflation, making gold more attractive as an alternative investment.
Property stocks: China Vanke Co. (000002 CH), the nation’s biggest listed property developer, dropped 1.4 percent to 8.98 yuan. China Merchants Property Development Co. (000024 CH), the third biggest, sank 0.7 percent to 24.41 yuan. Hangzhou Binjiang Real Estate Group Co. (002244 CH) fell 0.8 percent to 9.70 yuan.
China’s housing ministry will stop local governments from easing property policies to support “unreasonable” purchases, Xinhua reported yesterday, citing an unidentified spokesman with the ministry. The housing ministry will maintain the current property-price control policy, Xinhua said.
Sinohydro Group Ltd. (601669 CH), the nation’s biggest builder of dams, rose 0.9 percent to 4.51 yuan, the most since May 28. The company said it won a bid for a 16.9 billion yuan ($2.7 billion) rail construction project in the southern city of Shenzhen.