Chinese equities gained 1.65 percent Wednesday, with the benchmark index climbing above the 3000-point mark.

People trade at a stock market in Hangzhou, capital of east China's Zhejiang Province, July 1, 2009. Chinese equities gained 1.65 percent Wednesday, with the benchmark index climbing above 3000-point mark. The benchmark Shanghai Composite Index on Shanghai bourse closed at 3,008.15 points, up 48.79 points. The Shenzhen Component Index closed at 11,848.75 points, up 282.14 points, or 2.44 percent. (Xinhua/Wang Dingchang)

The benchmark Shanghai Composite Index on the Shanghai bourse closed at 3,008.15 points, up 48.79 points. The Shenzhen Component Index closed at 11,848.75 points, up 282.14 points, or 2.44 percent.

Total turnover expanded to 231 billion yuan (33.97 billion U.S. dollars) from 213.58 billion yuan on the previous trading day.

This is the first time since June 11 last year that the Shanghai Composite Index stood above 3,000 points, marking a 65-percent rise of the index during the first half. More than 500 stocks doubled their prices, said Li Daxiao, head of research institute with Yingda Securities.

The newly released Purchasing Managers' Index (PMI) of China's manufacturing sector stood at 53.2 percent in June, which should further boost investor confidence in the overall economy, according to the China Federation of Logistics and Purchasing.

The PMI includes a package of indices that measure economic performance. The survey, conducted by the National Bureau of Statistics, covers purchasing and supply managers at more than 700firms across China.

Real estate shares and financial stocks led the rise. As the climate of property market went warmer, property shares went strong, with BEIH-Property Co. rising by daily limit of 10 percent to 7.55 yuan, and China Vanke up 3.45 percent to 13.19 yuan.

Industrial and Commercial Bank of China gained 1.11 percent to 5.48 yuan, and China Ping An jumped 5.68 percent to 52.27 yuan.

The total market value of Shanghai and Shenzhen bourses increased more than 8 trillion yuan from only 12.14 trillion yuan by the end of last year.

The property sector made the largest rise of 122.19 percent in the first half, followed by the mining industry and financial shares, up more than 90 percent.

According to Shanghai Wind Information Co., the average share price rose from 6.11 yuan by the end of 2008 to 9.83 yuan.

The market would continue to go up and would have strong support if the country reported favorable economic data for the first half and companies recorded profitability in half-year report, said He Qiang, economist from Central University of Finance and Economics.

(Xinhua News Agency July 1, 2009)