China Equities Bounce Following Retreat of Evergrande Woes
Chinese equities showed signs of relief on Friday as sentiment was supported by lack of signs of contagion effect from the Evergrande looming default, encouraging data from the services sector and news related to upcoming virtual summit between Chinese President Xi Jinping and US President Joe Biden.
The Shanghai Composite rose 0.67% to 3.592.17 points, while the blue-chip CSI300 climbed 1.31% to 4.929.94.
The financial sector sub-index rose 1.98%, the consumer goods sector rose 2.54%, the real estate index fell 1.53% and the health sector rose 0.54%.
The ChiNext Composite Startup Index fell 0.04%.
Hong Kong's Hang Seng Index climbed 0.55% to 24.837.85, while China Enterprises Index climbed 0.72% to 8.775.65.
Activity in China's services sector returned to expansion in September after a major COVID-19 outbreak in eastern Jiangsu province subsided, a private study showed on Friday.
The Caixin/Markit purchasing managers' index (PMI) for China's services sector rose to 53.4 in September from 46.7 in August, recovering from a low since the first wave of the pandemic in April 2020.
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