China stock surge continues, market closes at five-year high
Jan 5 (Reuters) - China stocks surged to their highest close in five years on Monday, led upward by property and energy shares.
The CSI300 index of the largest listed companies in Shanghai and Shenzhen rose 3.1 percent, to 3,641.54, while the Shanghai Composite Index gained 3.6 percent, to 3,350.52 points.
That's the highest since August 2009 for the Shanghai Composite and December 2009 for the CSI300.
The CSI300 Energy sub-index soared 8.9 percent as many constituents rose at the 10 percent trading limit. Analysts attributed the rally to coal shares' low valuation.
The CSI real estate sub-index rose 3.7 percent after local media reports said Beijing and Guangzhou authorities loosened mortgage rules to aid the troubled property sector.
Poly Real Estate Group jumped 9.98 percent while China Vanke rose 7.3 percent.
Among the most active stocks in Shanghai were Bank of China , up 6.5 percent to 4.42 yuan; GD Power Development , up 4.5 percent to 4.84 yuan and Agricultural Bank of China, up 4.9 percent to 3.89 yuan.
In Shenzhen, China Vanke, up 7.3 percent to 14.91 yuan; BOE Technology Group, up 3.0 percent to 3.46 yuan and TCL Corp, up 6.1 percent to 4.03 yuan were among the most actively traded.
China CSI300 stock index futures for January rose 3.1 percent, to 3,689.6, a spread of 48.1 points below the current value of the underlying index.
Foreign investment flowing into Shanghai from Hong Kong through the mutual market access pilot programme took up 4.69 billion yuan of the 13 billion yuan daily quota.
Total volume of A shares traded in Shanghai was 53.1 billion shares, while Shenzhen volume was 21.8 billion shares. (Reporting by Jake Spring; Editing by Richard Borsuk)
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