China Stock Market May Add To Its Winnings On Thursday

(RTTNews) - The China stock market has finished higher in two straight sessions, collecting nearly 30 points or 0.9 percent along the way. The Shanghai Composite now sits just above the 3,430-point plateau and it may see additional support again on Thursday.

The global forecast for the Asian markets is upbeat on improved optimism about the outlook for interest rates. The European markets were up and the U.S. bourses were mostly higher and the Asian markets figure to follow suit.

The SCI finished modestly higher on Wednesday as gains from the resource and property stocks were capped by weakness from the financial sector.

For the day, the index gained 9.83 points or 0.29 percent to finish at 3,432.49 after trading between 3,416.09 and 3,437.81. The Shenzhen Composite Index added 15.75 points or 0.76 percent to end at 2,090.92.

Among the actives, Industrial and Commercial Bank of China tumbled 1.71 percent, while Bank of China retreated 1.54 percent, China Construction Bank tanked 1.91 percent, China Merchants Bank sank 0.78 percent, Agricultural Bank of China stumbled 1.58 percent, China Life Insurance surrendered 2.19 percent, Jiangxi Copper rallied 1.45 percent, Aluminum Corp of China (Chalco) accelerated 2.74 percent, Yankuang Energy climbed 1.21 percent, PetroChina advanced 1.08 percent, Huaneng Power rose 0.28 percent, China Shenhua Energy jumped 1.97 percent, Gemdale improved 1.49 percent, Poly Developments gained 130 percent, China Vanke added 0.82 percent and China Petroleum and Chemical (Sinopec) was unchanged.

The lead from Wall Street is mixed to higher as the major averages opened in the green on Wednesday, although the Dow was unable to hold those gains.

The Dow dropped 99.27 points or 0.22 percent to finish at 44,148.56, while the NASDAQ surged 347.65 points or 1.77 percent to close at a record 20,034.89 and the S&P 500 rallied 49.28 points or 0.82 percent to end at 6,084.19.

The strength in the broader markets followed the release of closely watched inflation data that came in line with estimates.

With the data matching expectations, the report has increased confidence that the Federal Reserve will lower interest rates by another quarter-point next week.

CME Group's FedWatch Tool is currently indicating a 98.6 percent chance the Fed will cut rates by 25 basis points at its December meeting.

Oil futures settled higher Wednesday on possible sanctions on Russia by the European Union, expectations of increased demand from China and data showing a jump in gasoline stockpiles. West Texas Intermediate crude oil futures for January closed up $1.70 or 2.5 percent at $70.29 a barrel.