(RTTNews) – The China stock market has climbed higher in four straight session, gathering more than 150 points or 4.6 percent in that span. The Shanghai Composite Index now rests just above the 3,525-point plateau and it’s expected to see additional support when it opens on Wednesday.
The global forecast for the Asian markets is upbeat thanks largely to a spike in energy prices. The European markets were mixed and the U.S. bourses were higher and the Asian markets are tipped to split the difference.
The SCI finished modestly higher on Tuesday following mixed performances from the financials, properties and resource stocks.
For the day, the index collected 25.72 points or 0.73 percent to finish at the daily high of 3,528.68 after sinking as low as 3,484.72. The Shenzhen Composite Index advanced 35.80 points or 1.50 percent to end at 2,422.34.
Among the actives, Industrial and Commercial Bank of China and China Construction Bank both dropped 0.80 percent, while China Merchants Bank tanked 2.29 percent, Bank of Communications collected 0.22 percent, China Life Insurance retreated 0.90 percent, Jiangxi Copper tumbled 1.82 percent, Aluminum Corp of China (Chalco) added 0.53 percent, Yanzhou Coal skidded 1.37 percent, PetroChina slid 0.24 percent, China Petroleum and Chemical (Sinopec) fell 0.25 percent, China Shenhua Energy declined 1.89 percent, Gemdale sank 0.93 percent, Poly Developments lost 1.24 percent, China Vanke improved 0.47 percent, Beijing Capital rose 0.70 percent and Bank of China was unchanged.
The lead from Wall Street is positive as stocks bounced higher again following the pullback in the previous session, ending in the green.
The Dow climbed 167.71 points or 0.55 percent to finish at 30,391.60, while the NASDAQ advanced 120.51 points or 0.95 percent to end at 12,818.96 and the S&P 500 gained 26.21 points or 0.71 percent to close at 3,726.86.
Energy stocks helped to lead the rebound on Wall Street, benefiting from a substantial increase by the price of crude oil.
Crude oil futures ended sharply higher Tuesday, lifted by an announcement from Saudi Arabia that it will cut crude production by 1 million barrel per day from February through March. West Texas Intermediate Crude oil futures for February ended up by $2.31 or 4.9 percent at $49.93 a barrel.
Buying interest was kept in check as traders await the results of two key Senate runoffs in Georgia. The outcome of the runoff elections will determine which party controls the Senate and could have a major impact on what President-elect Joe Biden is able to accomplish.
In economic news, the Institute for Supply Management reported an unexpected acceleration in the pace of growth in manufacturing activity in December.
Closer to home, China will see December numbers for its services and composite PMIs from Caixin later this morning; in November, their scores were 57.8 and 57.5, respectively.
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