The Shanghai Composite Index (SCI) closed up 6.1% at 2,198.11 points on Wednesday, its largest percentage gain since November 10, on expectations that China will announce additional economic stimulus measures, the Wall Street Journal reported. The positive vibes in Shanghai spread throughout the region, with the Japanese, South Korean, Hong Kong and Singapore markets all rebounding from shaky starts. Big gains were posted by steel- and resource-related stocks on the grounds that rejuvenated Chinese consumption might boost demand for commodities. Aluminum Corp of China closed up 9%, while Baoshan Iron & Steel gained 4.7% and Angang Steel rose 5.4%. Poly Real Estate and China Vanke jumped 8.9% and 6.5% respectively. However, analysts noted that it would be difficult to sustain these gains without a formal announcement by the government. Even then, regional prices could still be dragged down in response to poor economic data from around the globe.
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