Shanghai's climb to a 10-month peak led stock markets higher across the region yesterday as further evidence emerged that the worst of the global recession might be over.
The Shanghai Composite index gained 2 per cent to 2,778.59. Banks and property companies were in favour, with Shanghai Pudong Development Bank rising its daily 10 per cent limit to Rmb28.73 and Citic Securities gaining 3.1 per cent to Rmb26.90. China Vanke, the property developer, rose 2.8 per cent to Rmb10.84 in Shenzhen.
There was also plenty of company news that moved stocks. Terramin Australia gained 16.7 per cent to A$0.945 after it said the Foreign Investment Review Board, the Australian regulator, had approved a $10m investment in the zinc miner by China Non-Ferrous Metal Industry's Foreign Engineering & Construction, the state-owned contractor. Devine, the property builder and construction supplies company, lost 6.4 per cent to A$0.44 after it lowered its after-tax profit guidance for the year due to the delay of one of its commercial projects.