China shares rise in a technical rebound

Converse to Tuesday’s lower-than-anticipated industrial output, shares rose in a technical rebound after four continuous days of decline, the Wall Street Journal reported. Both the Shanghai Composite Index and the Shenzhen Composite Index ended up, 0.5% (14.97 points) and 0.8% (8.60 points) respectively. Value-added industrial production rose 10.8% in July from a year earlier, though experts polled by Dow Jones Newswires had predicted an increase of 11.5%. Lending also declined steeply from Rmb1.53 trillion (US$224 billion) in June to Rmb355.9 billion (US$52 billion) in July, while the Shanghai index also fell 6% in the past four sessions over concerns that Beijing would finesse the monetary policy. TX Investment analyst Qiu Yanying said "All eyes are on policy instead of the data. The market’s performance has been weak recently because investors are divided over whether Beijing will impose tightening measures soon."