Chinese shares up 1.21% in morning session

Chinese shares ended 1.21 percent higher in the morning session on Tuesday following rises in overseas markets.

The Shanghai Composite Index closed at 2,098.66 points, up 25.09 points or 1.21 percent from the previous close.

The smaller Shenzhen Component Index ended at 6,684.34 points, up 112.76 points or 1.72 percent..

The property sector led the gains. Vanke rose 6.44 percent to 6.78 yuan. Poly Real Estate Group Co. was up 4.19 percent to 14.92yuan.

Dairy companies Yili and Bright soared by the daily limit of 10percent after making clarifications on losses over melamine-tainted products.

Banks and insurers maintained strong momentum at the opening but the price increases soon shrank. By noon, Bank of Communications went up 3.93 percent to 5.56 yuan. China Life rose 2.94 percent to 22.44 yuan and China Pacific Insurance Co. dropped slightly by 0.14 percent to 14.38 yuan.

The two major index opened more than 3 percent higher on Tuesday following rebounds in other major markets sparked by global efforts to stem the financial crisis.

Share prices in other Asian markets also surged on Tuesday.

Singapore shares were 5.04 percent higher in early trade on Tuesday. Philippine share prices opened 7.34 percent higher and Hong Kong share prices 5.1 percent higher. Share prices in the Republic of Korea opened 5.14 percent higher.

Chinese shares ended a weeklong decline and rebounded on Monday, as regional markets rallied after central banks around the world made bold moves to cope with the global financial crisis.

Following the announcements of European countries' cash infusion plans worth nearly 2 trillion U.S. dollars, the blue chip Dow Jones industrial average soared 936 points, or more than 11 percent, in its biggest one-day gain, on Monday.

Source:Xinhua