Published on 05/07/2025 at 03:54
(MT Newswires) -- Chinese shares made gains after the central bank announced a series of measures, including cutting key rates, to mitigate the effects of the US tariffs on China's economy. Investors were also relieved as both US and China are planning to hold trade talks this week.
The Shanghai Composite Index added 0.8%, or 26.55 points, to finish Wednesday's session at 3,342.67. The Shenzhen Component Index rose 0.2%, or 21.79 points, to 10,104.13.
The People's Bank of China said it will reduce the seven-day reverse repurchase rate by 10 basis points to 1.4%, starting Thursday. The PBOC also trimmed the reserve requirement ratio by 0.5 percentage points, and the deposit reserve ratio for auto finance firms and financial leasing companies by 5 percentage points, effective May 15.
Sentiment was also uplifted over potential trade talks between the US and China that are set to begin this week in Switzerland.
In corporate news, Harbin Dongan Auto Engine closed 5.5% higher after its sales and output of its engines and transmissions in April both increased.
Hubei Huarong Holding rose 5% as it plans to acquire an additional 34% stake in construction materials making unit Zhejiang Zhuangchen Construction Technology.

Sumber : MT Newswires