Chinese stocks rise as investors await policy signals

Chinese stocks closed higher on Wednesday as investors looked for fresh policy support from the ongoing National People?s Congress Standing Committee meeting. The Shanghai Composite rose 0.59% to 3,912.5, while the Shenzhen Component gained 0.69% to 13,841.3.

The August 25?28 meeting is being closely watched after recent weak economic data and repeated government promises to support growth. Investors are hoping for measures that could help strengthen the economy.

Meanwhile, China Merchants Bank is issuing a three-year floating-rate bond linked to the overnight repo rate. It is the first domestic commercial bank to issue such a bond, following the Export-Import Bank of China, which recently made a similar move.

The shift shows the PBOC?s efforts to make the overnight repo rate a key benchmark for short-term borrowing costs and bring China?s monetary framework closer to global practices.

Among major gainers, Zijin Mining rose 2.35%, SMIC gained 3.46%, Luxshare Precision Industry climbed 4.10%, and Sungrow Power Supply advanced 2.76%.

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