BEIJING (dpa-AFX) - The China stock market on Monday ended the three-day losing streak in which it had fallen more than 40 points or 1.2 percent. The Shanghai Composite Index now rests just beneath the 3,500-point plateau and it's predicted to open higher again on Tuesday.
The global forecast for the Asian markets is positive, supported by crude oil prices and bargain hunting. The European and U.S. markets were solidly higher and the Asian bourses are expected to open in similar fashion.
The SCI finished modestly higher on Monday following gains from the insurance companies, weakness from the resource stocks and properties and a mixed picture from the financial sector.
For the day, the index added 10.73 points or 0.31 percent to finish at 3,497.28 after trading between 3,469.87 and 3,498.30. The Shenzhen Composite Index improved 17.47 points or 0.75 percent to end at 2,337.26.
Among the actives, Industrial and Commercial Bank of China collected 0.39 percent, while Bank of China rose 0.30 percent, China Construction Bank dipped 0.29 percent, China Merchants Bank eased 0.06 percent, China Life Insurance climbed 1.22 percent, Jiangxi Copper plunged 2.48 percent, Aluminum Corp of China (Chalco) tanked 2.25 percent, Yanzhou Coal skidded 1.05 percent, PetroChina retreated 1.49 percent, China Petroleum and Chemical (Sinopec) added 0.69 percent, China Shenhua Energy lost 0.36 percent, Gemdale declined 1.10 percent, Poly Developments and China Fortune Land both surrendered 136 percent, China Vanke tumbled 1.43 percent and Bank of Communications and China Minsheng Bank were unchanged.
The lead from Wall Street is firm as the major averages opened solidly higher on Monday and picked up steam as the session progressed.
The Dow climbed 186.14 points or 0.54 percent to finish at 34,393.98, while the NASDAQ jumped 190.18 points or 1.41 percent to end at 13,661.17 and the S&P 500 advanced 41.19 points or 0.99 percent to close at 4,197.05.
The gains on Wall Street came as continued optimism about global economic recovery and the momentum in vaccination drive outweighed concerns over inflation and fears of monetary tightening by central banks.
While the Federal Reserve has repeatedly signaled it believes the recent increase in inflation largely reflects 'transitory factors,' a spike in prices could still raise concerns about the central bank tapering its asset purchases.
Crude oil futures climbed higher on Monday as inconclusive nuclear deal negotiations with Iran and reports of a possible hurricane in the Gulf of Mexico supporting prices. West Texas Intermediate Crude oil futures for July surged $2.47 or 3.9 percent at $66.05 a barrel.
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