BEIJING: Chinese stocks rebounded from the biggest slump in six weeks amid speculation the government will take more measures to bolster growth.
The Shanghai Composite Index rose 2 percent to a seven-year high of 4,163.93 at the 11:30 a.m. break, led by nuclear-related and consumer-staples shares. Premier Li Keqiang said this week that the government would take more targeted measures to bolster the economy. Dongfang Electric Corp. paced gains for industrial shares after the State Council approved the construction of a nuclear reactor in coastal areas. Liquor makers Kweichow Moutai Co. and Wuliangye Yibin Co. also soared by the daily limit.
The Shanghai gauge fell 1.2 percent on Wednesday after data showed industrial output in March trailed forecasts. The index has jumped 76 percent in the past six months, the most among 92 benchmark indexes globally, on speculation the central bank will extend cuts in interest rates and reserve-requirement ratios.
