SHANGHAI, April 1 (Reuters) - China stocks ended higher on
Friday, with property developers leading the gains on
expectations of more economic stimulus after data showed factory
activity slumped at the fastest pace in two years in March.
The blue-chip CSI300 Index rose 1.3% to 4,276.16,
while the Shanghai Composite Index gained 0.9% to
The Hang Seng index rose 0.2% to 22,039.55, while the
China Enterprises Index gained 0.2% to 7,537.16.
For the week, the CSI300 Index added 2.4%, the biggest
weekly gain so far this year, while the Hang Seng Index was up
** The Caixin/Markit Manufacturing Purchasing Managers'
Index (PMI), which focuses more on small firms in coastal
regions, fell to 48.1 in March, broadly in line with the
official PMI released on Thursday, as the domestic COVID-19
resurgence and the economic fallout from the Ukraine war
** China's commercial hub of Shanghai grounded to a halt on
Friday after the government locked down most of the city's 26
million residents to stop the spread of COVID, even as official
numbers showed cases falling for the second day in a row.
** To some extent, negative headlines were priced in during
the first quarter, said Yang Delong, chief economist at
Shenzhen-based First Seafront Fund Management Co, adding he
expected a potential rebound in the second quarter.
** China's CSI300 Index tumbled 14.5% in the first three
months of the year, marking its worst quarter since 2015.
** Government officials have vowed to roll out policies to
stabilise the economy, while analysts say the possibility of the
central bank cutting reserve requirement ratios in April has
risen as economic headwinds intensify.
** Real estate developers surged 4.6%,
financials firms gained 1.9%, and consumer staples
** Tourism and transportation stocks
jumped 4.5% and 5.3%, respectively, ahead of the
Tomb Sweeping Festival holidays.
** Shipping and port firms surged, with Shanghai
International Port Group jumping 10% after it
forecast a 75.6% rise in first-quarter net profit.
** Tech firms listed in Hong Kong dropped 0.7% as
concerns over U.S. delisting lingered.
** Search engine giant Baidu Inc, which was newly
added to the list of stocks facing delisting in the United
States on Wednesday, closed down 4.5%, while e-commerce giant
Alibaba Group ended lower 2.1%.
** China's securities regulator said on Thursday both China
and the United States have a willingness to solve their audit
disputes, and the outcome depends on the wisdom of both parties.
** Hao Hong, head of research at BOCOM International, said
there appears to be irreconcilable difference between the U.S.
and Chinese regulators and it would be hard for them to reach an
** The Hong Kong stock exchange suspended from trade on
Friday the shares of Chinese developers such as Sunac China
, Shimao Group and Kaisa Group, and
about 30 other firms for a delay in declaring annual results.
(Reporting by Shanghai Newsroom; Editing by Subhranshu Sahu)