Tourism stocks drive Chinese market higher

Chinese shares rose Thursday as tourism stocks climbed on expectations that the sector will see increased demand during the summer season. Alcoholic beverage makers rallied on speculation that the upcoming Mid-Autumn Festival will boost white wine prices. The benchmark Shanghai Composite Index climbed 1.27 percent to close at 2,581.51. The Shenzhen Component Index rose 1.55 percent to finish at 11,627.49. Combined turnover dropped slightly to 193.31 billion yuan (about 30.2billion U.S. dollars) from 196.9 billion yuan the previous trading day. Gainers outnumbered losers by 838 to 80 in Shanghai and 1,201 to 101 in Shenzhen. Tourism stocks led the rise, with the sector gaining 4.21 percent on predictions that the earnings of hotels, restaurants and travel companies will rise over the summer, as that is the most popular time for travel in China. China CYTS Tours Holding Co., the country's second-largest travel company, climbed 6.73 percent to 15.07 yuan per share, while Lijiang Yulong Tourism Co. rose by the daily limit of 10 percent to close at 23.87 yuan. Alcoholic beverage makers rallied, with the sector going up 3.22 percent. Kweichow Moutai Co., the nation's most well-known white wine producer, rallied 4.38 percent to a record high of 214.7 yuan per share. Xinjiang Yilite Industry Co. jumped 9.83 percent to 14.3 yuan. The textile sector rose after the General Administration of Customs said Wednesday that the country's exports of textile and clothes hit 26 billion U.S. dollars in July, the highest monthly level posted this year. Anhui Huamao Textile Co. gained 8.74 percent to 8.83 yuan, while Hunan Huasheng Co. rose 4.52 percent to 6.93 yuan per share.