Mainland stocks rally 4.59%
8 July 2008
The Shanghai Composite Index surged 4.59% Monday to 2,792.397, the largest single-day gain mainland stocks have seen in three months, the South China Morning Post reported. The market was helped by strong earnings projections from banks including China Minsheng Bank, China Merchants Bank and Industrial and Commercial Bank of China. Investor optimism appeared to improve on speculation that the government would intervene to help the flagging A-share market following remarks by Vice Premier Wang Qishan that it would "support what needs to be supported and clamp down on what should be clamped down." Analysts pointed out that the government had not yet stepped in, and that previous attempts, such as a stamp-duty cut in April, had failed.