SHANGHAI, June 30 (Reuters) – China stocks gains for a
second straight week, as MSCI’s decision to include mainland
shares in a key index fuelled a buying spree for blue-chips,
even as concerns lingered over a slowdown in the world’s second
The blue-chip CSI300 index ON Friday fell 0.1
percent, to 3,666.80 points, while the Shanghai Composite Index
added 0.1 percent to 3,192.43 points.
For the week, CSI300 gained 1.2 percent and SSEC rose 1.1
For the month, CSI300 gained 4.9 percent, its best month
since November, while SSEC was up 2.4 percent.
For the quarter, CSI300 advanced 6.1 percent and SSEC lost
Chinese fund managers have turned more upbeat as headwinds
that had pressured domestic markets eased, according to a
monthly Reuters poll.
U.S. index provider MSCI’s has agreed to add 222
China-listed large-cap stocks to its Emerging Markets Index
(EMI), tracked by around $1.6 trillion.
And the index could raise its weighting of China A-shares,
potentially adding 195 mid-sized stocks.
China’s factories grew at the quickest pace in three months
in June, buoyed by strong new orders in a sign of stabilising
growth, though analysts expect a further slowdown is inevitable
as Beijing cracks down on debt risks.
Over the past two weeks after MSCI’s inclusion, banking
and consumer stocks, which would
represent the biggest weightings of China stocks in the MSCI
EMI, had become the top performing sectors, advancing 4.7
percent and 4.6 percent respectively.
(Reporting by Luoyan Liu and John Ruwitch; Editing by Richard