BANGKOK (AP) – Asian shares gained ground yesterday, with stocks in China rising more than two per cent after the finance minister said over the weekend that more stimulus is needed for the slowing economy.
US futures were little changed and oil prices retreated.
China’s Finance Minister Lan Foan, said on Saturday that the government was considering additional ways to boost the economy, but he didn’t give details of a major new stimulus plan.
Stock investors and analysts have been hoping for a plan of up to CNY2 trillion, or about USD280 billion.
But any expressions of support by officials tend to push share prices higher, and the “national team” of big state-run companies and financial institutions tend to weigh in with stock purchases to help stabilise markets, analysts said.
The Shanghai Composite index rose 2.1 per cent to 3,284.32 and the smaller market in Shenzhen gained three per cent. Hong Kong’s Hang Seng index lost 0.9 per cent to 21,061.23.
