China’s major stock indexes rose on Thursday, buoyed by strong gains in the new energy sector, as investors positioned ahead of a fresh batch of economic data due Friday.
At the midday break, the Shanghai Composite Index (.SSEC) gained 0.4% to 4,017.94, while the blue-chip CSI300 (.CSI300) advanced 1%, recovering earlier losses.
Sector Highlights
New energy stocks led the rally. The CSI New Energy Vehicle Index (.CSI399976) surged 6.9% to a three-year high, and the CSI New Energy Index (.CSI399808) climbed 5.5%, marking its strongest session in two weeks.
Key players posted sharp gains:
CATL (300750.SZ) jumped 8.2%, nearing record highs last seen in October.
Tianqi Lithium (002466.SZ) rose 9.9%.
The rally followed comments from a senior Ministry of Industry and Information Technology official, who said Beijing would soon unveil a comprehensive plan to boost the new energy battery industry and its supporting infrastructure.
Investor Moves
Zhikai Chen, head of Asian equities at BNP Paribas Asset Management, said domestic institutional investors may be shifting portfolios as their November fiscal year-end approaches.
Meanwhile, the artificial intelligence (.CSI930713) and semiconductor (.CSI931865) sectors edged higher, gaining 0.5% and 0.9%, respectively, after recent declines.
“There’s been a move toward booking strong year-to-date returns and rotating into dividend-paying sectors,” Chen noted, adding that the trend could continue into December.
Hong Kong Markets and Outlook
In Hong Kong, the Hang Seng Index (.HSI) slipped 0.6% to 26,766.71, while the Hang Seng China Enterprises Index (.HSCE) also fell 0.6%, following Wednesday’s one-month high.
Investors now await October credit data along with retail sales, industrial output, and fixed-asset investment figures due Friday, which are expected to provide clearer signals on China’s economic recovery and potential policy adjustments.
With information from Reuters.