Shenzhen A-shares close higher; B-shares sharply higher in volatile trade

SHENZHEN (AFX-ASIA) - A-share prices closed higher amid institution-led gains in Shenzhen Development Bank, dealers said. B-share prices closed sharply higher after rebounding from flat as 11 stocks resumed trading following a half-day suspension,they said. Under stock market rules, the 11 companies were required to take a trading suspension in the morning session, after closing limit-up for three consecutive days, they said, adding that the shares continue to attract strong domestic buyer interest, even after many days of sharp gains. The A-share sub-index closed 71.09 points or 1.34 pct higher at 5,343.84 on turnover of 5.86 bln yuan after trading between 5,344.88 and 5,245.38. The B-share sub-index closed 98.49 points or 6.44 pct higher at 1,625.89 after trading between 1,626.75 and 1,509.00. The component A- and B-share index closed 77.90 points or 1.65 pct higher at 4,775.10 on turnover of 8.77 bln yuan after trading to a high of 4,775.76 and a low of 4,672.89. Analysts said there was no clear reason for the sharp gains in Shenzhen Development Bank, although there was speculation that they were related to recent news that investment company Xinjiang Delong International Industrial will acquire 25 mln legal person shares in Shenzhen-listed Shenzhen Development Bank. Xinjiang Delong has a reputation for triggering sharp gains in stocks in which it has a strategic interest, they said. They also said that many B-shares have already changed hands in heavy trade over the last two weeks, and new B-share holders are now likely to hold their shares until further gains have created leeway for profit-taking. Shenzhen Development Bank rose 0.6 yuan to 16.6 on 32.1 mln shares. China Baoan gained 0.11 yuan to 7.6 on 5.2 mln shares. Angang New Steel gained 0.03 yuan to 4.62 on 4.9 mln shares, while Beijing Shougang rose 0.02 yuan to 11.21 on 3.7 mln shares and Panzhihua New Steel rose 0.09 yuan to 8.3 on 2.9 mln shares. Searainbow shed 0.14 yuan to 25.69 on 2.3 mln shares. Among B-shares, Guangdong Electric Power gained 0.54 hkd to 5.94 on 47.9 mln shares, while Shenzhen SEG rose 0.36 hkd to 3.96 on 32.6 mln shares and Shandong Airlines gained 0.26 hkd to 5.8 on 34.2 mln shares. Bengang Steel Plates rose 0.24 hkd to 4.04 on 37.6 mln shares.

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