China stocks rebound Thursday on strong railway sector

Chinese stocks rebounded on Thursday from a record low since February 2009 on the previous trading day, after the country's top economic planning agency approved 25 urban rail projects that could be worth over 800 billion yuan (126.18 billion U.S. dollars). The benchmark Shanghai Composite Index rose 14.24 points, or 0.7 percent, to close at 2,051.92. The Shenzhen Component Index gained 45.68 points, or 0.55 percent, to close at 8,288.27. Combined turnover fell to 95.3 billion yuan (15.13 billion U.S. dollars), compared to 96.73 billion yuan on Wednesday. Gainers outnumbered losers by 815 to 126 in Shanghai and 1,231 to 250 in Shenzhen. The railway sector rallied on the approval of new urban rail projects. Qingdao TGOOD Electronic Co., Ltd. rose by the daily limit of 10 percent to 11.75 yuan. China Railway Erju Co., Ltd. gained 8.5 percent to 6.52 yuan. Shares in building materials surged, with China Fangda Group Co., Ltd. and Zhejiang Kaier New Materials Co., Ltd. both up by 10 percent. Banks rebounded, with Minsheng Bank up 3.8 percent to 5.68 yuan. Shale gas stocks also gained, with Zhangjiagang Furui Special Equipment Co., Ltd. up 7.42 percent to 33.3 yuan. Shares of Xinjiang-based companies also jumped as Premier Wen Jiabao stressed during his inspection tour of Xinjiang Uygur Autonomous Region that promoting leapfrog development in the area is key to its long-term stability. Markor International Funiture Co., Ltd. soared by 10 percent to 7.38 yuan. Brewers bucked the trend. Anhui Gujing Distillery Company Limited dropped 1.8 percent to 34.2 yuan. Jiangsu Yanghe Brewery Joint-Stock Co., Ltd. slid 1.3 percent to 120.5 yuan.