Shanghai exchange scales to heights not seen since 2008

The Shanghai Composite Index climbed 1.6% to close at 3,502.85 on Tuesday, with a jump in airline and rail firms helping the exchange reach its highest level since May 2008, prior to the global financial crisis, Bloomberg reported. The gauge has risen 73% over the last 12 months, recovering from a severe wounding in August 2009 that wiped out more value than any other equity market in the world. The turnaround has been fueled by record margin debt prompted in part by the debut of the Hong Kong-Shanghai Stock Connect and a downturn in property prices that drove domestic funds toward Shanghai’s bourse.