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Stocks rebound for second day after worst week in 7 years

By Dai Tian (chinadaily.com.cn) Updated: 2015-06-24 16:10

Stocks rebounded for a second day on Wednesday after registering their steepest weekly loss since the global financial crisis, as liquidity concern eased after a flood of new offerings.

The benchmark Shanghai Composite Index climbed 2.5 percent to 4,690.15 points at the close after sinking more than 13 percent last week, while the Shenzhen Component Index closed at 16,312.31, up 1.7 percent.

Energy and power companies led the gain, as Huadian Power International, Huaneng Power International, Jilin Power Share Co and Sinopec Shanghai Petrochemical jumped by the daily limit of 10 percent.

PetroChina and Sinopec, the country's two major energy magnets, climbed 2.9 and 3.8 percent respectively.

Coal companies remained bullish, with China National Coal Group and SDIC Xinji Energy Co surging by 10 percent. China Shenhua Energy and Shanghai Energy gained 5.4 and 6.6 percent respectively.

The Shanghai gauge plunged 13.3 percent last week amid concerns that 25 new listings could lure away liquidity from existing equities.

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