Shares on the Shanghai Stock Exchange added about 1 percent in Monday trading. Banking titles and the industrial materials segment strengthened the most. The rise is due to better-than-expected results from China’s gross domestic product for last year.
The Shanghai STOCK EXCHANGE’s CSI300 index rose 1.1 percent on Monday and the Shanghai Composite rose 0.8 percent. Technology titles added nearly two percent, and banking and industrial companies even saw slightly stronger growth. The Shenzhen Stock Exchange also rose 1.1 percent.
The upbeat mood in China’s stock markets was caused by current data on economic growth in the world’s second-largest economy. China’s gross domestic product grew 6.5 percent year-on-year in the last quarter of last year and 2.3 percent for the whole of last year. The pace of recovery in the last quarter is even higher than the GDP growth rate before the coronavirus crisis erupted.
China’s economy is thus the only major one that managed to improve its performance last year. Even to a greater extent than expected. China’s International Monetary Fund edimed economic growth of 1.9 percent. China’s economy could grow by more than seven percent this year, according to Credit Suisse analysts.
