Shanghai Daily news

Shanghai shares bounced back a little yesterday, led by investors' optimism in banks and petrochemical companies.
The Shanghai Composite Index, which groups both yuan-dominated A shares and hard-currency B shares, inched up 0.21 percent to finish at 1,099.26. The A share index rose 0.2 percent to 1,155.49 while B share index closed down 0.03 percent at 60.93.
"The appreciation of the RMB (renminbi) and news that more banks will participate in the stock reform (scheme) bolster investors' confidence in the sector," said Wang Xiaomin, an analyst at Xiangcai Securities Co.
China Mingsheng Banking Corp Ltd rose the highest among competitors as it has just finished its stock restructuring. The stock surged 3.21 percent to 3.86 yuan (47.7 US cents).
Shanghai Pudong Development Bank climbed 1.85 percent to 8.81 yuan. Spurred by its plan to issue warrants this week, China Merchants Bank rose 1.9 percent to 6.42 yuan.
Oil and chemical companies were also in demand as huge buying was seen in Shanghai Petrochemical Co and Qilu Petrochemical Corporation.
"After Sinopec Corp completed its acquisition recently, the market is betting China Petroleum & Chemical Corporation will buy stakes in Qilu Petrochemical Corporation, Shanghai Petrochemical Co and Yangtze Petrochemical Group, and that will boost the prices of the three oil and chemical companies in the short term," Wang said.
Qilu Petrochemical Corp rose 2.27 percent to 7.21 yuan while Shanghai Petrochemical Co added 1.12 percent to finish at 3.6 yuan.
Sinopec, the top Asian refiner, announced two weeks ago it would pay 7.67 billion Hong Kong dollars (US$990 million) via its subsidiary, Ningbo Yonglian, to privatize Sinopec Zhenhai Refining & Chemical Co, one of its units.
China United Telecommunications Corp rose 1.54 percent to 2.63 yuan. China Southern Airlines Co climbed 1.12 percent to finish at 2.72 yuan.