China stocks rebound slightly; tourism shares shine


SHANGHAI, Jan 9 (Reuters) – China stocks rebounded
slightly on Tuesday, after a five-day losing streak, with
tourism companies leading the gains amid rising enthusiasm for
winter travel, and as some investors bought the dip after
blue-chip shares hit a nearly five-year low in the previous
session.

** The blue-chip CSI 300 Index and the Shanghai
Composite Index both edged up 0.3% by the midday recess.

** Hong Kong’s Hang Seng Index added 0.3%, and the
Hang Seng China Enterprises Index remained almost flat.

** Other Asian stock indexes were mostly higher after a
tech-led surge on Wall Street as investors await the next set of
U.S inflation numbers due this week, which could hint at when
the Federal Reserve might start cutting interest rates.

** “There were few signs of a recovery in the first week of
2024, with a risk-off move broadly across China’s asset
classes,” said Ting Lu, chief China economist at Nomura.

** “We think the PBOC (central bank) is quite likely to cut
its benchmark lending rates next Monday.”

** Winter tourism in China has rebounded sharply in a
welcome boon to economically weak regions in the north
struggling to recover from years of pandemic gloom, and
providing a boost to sluggish domestic consumption.

** Destinations in China’s northeastern rust-belt, such as
the city of Harbin in Heilongjiang province, have attracted
droves of domestic visitors from warmer climes in the past
weeks.

** The CSI Tourism Thematic Index jumped 4.1%,
with winter tourism-theme stocks Changbai Mountain Tourism Co
and Dalian Sunasia Tourism Holding up
10% each by their daily upper limits.

** Shares in real estate and new energy
rose more than 1% each.

** Foreign investors bought a net 1 billion yuan ($139.67
million) of Chinese shares so far on the day.

** In Hong Kong, tech giants slipped 0.2%, with
food-delivery giant Meituan down 3.3%.
($1 = 7.1595 Chinese yuan)
(Reporting by Shanghai Newsroom; Editing by Mrigank Dhaniwala)



This article was originally published by a www.marketscreener.com . Read the Original article here. .