China’s Stocks Rise After Export, Import Growth Beat Estimates China’s stocks rose, with the benchmark index erasing earlier losses, after growth in exports and imports exceeded economists’ estimates. Jiangxi Copper Co. jumped 2.1 percent, leading a rally for metal producers. CSR Corp. and China CNR Corp., the country’s two biggest trainmakers, advanced after the Xinhua News Agency reported newly formed China Railway Corp will spend more than 50 billion yuan ($8.2 billion) in its first large-scale train purchases. Yanzhou Coal Mining Co. paced declines for energy producers after coal prices dropped for an eighth week. The Shanghai Composite Index (SHCOMP) rose 0.1 percent to 2,048.96 at 11:15 a.m. local time, erasing a loss of as much as 0.5 percent. The CSI 300 Index added 0.1 percent to 2,282.69. The Hang Seng China Enterprises Index (HSCEI) gained 1.1 percent. China’s exports rose 5.1 percent in July from a year earlier while imports advanced 10.9 percent, resulting in a $17.8 billion trade surplus, the General Administration of Customs said today in Beijing. Shipments abroad compared with the median estimate for a 2 percent increase in a Bloomberg News survey of 45 analysts and June’s 3.1 percent drop. The increase in imports compares with the median estimate for a 1 percent gain and a 0.7 percent decline in June. The government signaled last month that it will defend its 7.5 percent economic-growth target for the year after expansion slowed for a second quarter. China has announced what Bank of America Corp. called a “small stimulus” consisting of measures including tax breaks for small companies and accelerated railway construction. The statistics bureau will release inflation and industrial production data tomorrow. Inflation probably quickened to 2.8 percent last month from 2.7 percent in June, while growth in industrial output may remain unchanged at 8.9 percent from a month earlier, according to Bloomberg surveys. The Shanghai Composite trades at 8.3 times 12-month projected earnings, compared with the five-year average of 12.7 times, according to data compiled by Bloomberg. The index has slumped 9.8 percent this year on concern growth at the world’s second-largest economy is slowing.
Posted on: Thu, 08 Aug 2013 03:40:20 +0000
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