Shanghai market buoyed by Asia-wide rebound

The Shanghai Composite Index closed up 2.8% at 1,771.82 points on Tuesday after a rally in other Asian markets wiped out early losses, the Wall Street Journal reported. Property developer China Vanke, which saw its third-quarter profit plunge 13% to US$31.5 million, led the early decline, dropping by as much as 9.2% in morning trading. Vanke eventually closed down by just 1.53% thanks to strong showings by the markets in Hong Kong, Japan, South Korea and Singapore. Hong Kong’s Hang Seng Index performed particularly well, jumping 14.4% to 12,596.29. This was the market’s biggest single-day gain in 11 years and it came after a five-day, 28% rout, which sent valuations so low that investors stepped in to sweep up the bargains. Vanke’s disappointing results did succeed in dragging down Hong Kong-listed property firms, however, with China Overseas Land and Guangzhou R&F both posting sharp losses.