China Stocks: China Merchants Bank, Hong Yuan Securities, Huatai
The Shanghai Composite Index (SHCOMP), which tracks the bigger of China’s stock exchanges, climbed 2.3 percent to 2,386.86 at the close. The CSI 300 Index rose 2.5 percent to 2,583.61.
Banks and insurers: Huaxia Bank Co. (600015) (600015 CH) advanced 3.7 percent to 10.77 yuan and China Merchants Bank Co. (600036) (600036 CH) increased 3.9 percent to 11.63 yuan after China said it will cut the reserve-requirement ratio.
The policy change will benefit small banks, brokerages, material producers, property developers and insurance companies the most, Hao Hong, global equity strategist at China International Capital Corp., said in a note. China Life Insurance Co. (601628) (601628 CH), the nation’s biggest insurer, jumped 7.9 percent to 18.48 yuan.
Hong Yuan Securities Co. (000562) (000562 CH) increased 2.9 percent to 13.89 yuan. The company obtained approval from the China Securities Regulatory Commission for a private share placement, according to a statement to the Shenzhen Stock Exchange.
Huatai Securities Co. (601688) (601688 CH) gained 2 percent to 9.24 yuan, the biggest advance since Oct. 24. The company’s unit and Silver Ridge Holdings Bhd. signed a preliminary agreement to explore business opportunities in China.
Maanshan Iron & Steel Co. (600808) (600808 CH) rose 1.8 percent to 2.78 yuan after its board approved a plan to invest 1.2 billion yuan ($188.5 million) to set up a railway equipment company.
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