China stocks rise on hope of improvement in Sino-US relations
Monday, May 22, 2023       13:28 WIB

05/22/2023 12:33am EDT
SHANGHAI(Reuters) - China stocks rose on Monday after the country's central bank vowed to support economic growth and U.S. President Joe Biden said he expected a thaw in frosty relations with China "shortly".
** China's blue-chip CSI300 Index was up 0.4% by the midday recess, while the Shanghai Composite Index gained 0.1%.
** Hong Kong's benchmark Hang Seng Index rose 1.3%, while the China Enterprises Index added 1.6%.
** The fundamentals of China's economic stability and long-term improvement have not changed, China's central bank said on Friday, vowing to enhance the stability of total credit growth.
** Consumer-related sectors led the gains as some investors bought the dip from losses fuelled by disappointing retail sales data released last week.
** Liquor makers rose 2.4% and consumer staples added 1.7%.
** Shares in some Chinese memory chipmaking-related companies were up after China failed U.S. memory chip rival Micron Technology Inc's products in a security review.
** Gigadevice Semiconductors, Ingenic Semiconductor, and Shenzhen Kaifa technology climbed between 0.1% and 2.2%.
** Joe Biden on Sunday said the Group of Seven nations were agreed in their approach to China and the need to diversify their supply chains so they are not dependent on one country.
** "We're not looking to decouple from China. We're looking to de-risk and diversify our relationship with China," he said.
** Tech giants listed in Hong Kong advanced 2.4%, with short video platform Kuaishou Technology up 6.3% ahead of earnings results.
** Separately, China kept its benchmark lending rates unchanged for the ninth month in May on Monday, matching market expectations.
** Goldman Sachs said that symbolic measures such as a reserve requirement ratio (RRR) cut are more likely than policy rate cuts this year given the already wide U.S.-China interest rate differential and depreciation pressure on the yuan.
(Reporting by Shanghai Newsroom; Editing by Sonia Cheema)

Sumber : Reuters