Shares rise as CPI and PPI exceed forecasts

Source: Xinhua | 2017-02-15

SHANGHAI stocks rose yesterday as economic data exceeded expectations.

The Shanghai Composite Index edged up 0.03 percent to 3,217.93 points.

China’s Consumer Price Index added 2.5 percent in January from a year earlier while the Producer Price Index rose 6.9 percent year on year last month, the National Bureau of Statistics said yesterday.

The growth in both CPI and PPI beat market expectations and indicated a good momentum for the Chinese economy, said Li Daxiao, head of research and chief economist at Yingda Securities.

The PPI data offered a positive effect as rising prices could boost corporate profits.

Xinjiang Qingsong Building Materials and Chemicals Co rose 5.68 percent to 7.07 yuan (US$1.03). Aluminum Corp Of China added 5.95 percent to 5.34 yuan, and Lingyuan Iron & Steel Co surged by the daily limit of 10 percent to 3.58 yuan.