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China stocks end higher as healthcare gains on three-child policy

Reuters2021-06-01

SHANGHAI, June 1 (Reuters) - China stocks eked out gains on Tuesday, helped by strength in healthcare firms, as investors cheered Beijing's latest three-child policy after recent data showed a dramatic decline in births in the world's most populous country.

The blue-chip CSI300 index was up 0.2% at 5,341.68, while the Shanghai Composite Index added 0.3% to 3,624.71.

Shenzhen's start-up board ChiNext slipped 0.3%, while Shanghai's tech-focused STAR50 index firmed 1.2%.

Leading the gains, the CSI300 healthcare index climbed 1.7%.

Birth- and fertility-related companies advanced as investors continued to cheer Beijing's major policy support.

Married Chinese couples may have up to three children, China announced on Monday. Beijing had scrapped its decades-old one-child policy in 2016, replacing it with a two-child limit to try and stave off risks to its economy from a rapidly aging population.

Jiangsu Aoyang Health Industry Co Ltd , Shanghai Aiyingshi , Beingmate Co Ltd, Changchun High & New Technology Industries Group Inc and Goldlok Holdings Guangdong Co Ltd climbed between 5.2% and 10%.

But analysts and traders expected limited impact from the policy shift on the market as a whole.

"The three-child policy could have an impact on China's long-term economic growth, while its stimulus could be limited for those who already have two children," Luo Kun, an investment manager at Chasing Securities' equities investment arm, said.

Luo said he did not see a major impact on the stock market, noting gains for related companies could mainly be a result of short-term speculation.

China's market regulator fined 15 private tutoring firms a combined 36.5 million yuan ($5.73 million) for false advertising and pricing frauds, the official People's Daily newspaper reported on Tuesday, amid a crackdown on the sector.

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Comment6

  • YLchua005
    ·2021-06-01
    The force ...
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  • 冲冲高
    ·2021-06-01
    Like and comment
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    • Jazling
      Reply Pls
      2021-06-01
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    • Fam_Fam87
      reply pls
      2021-06-01
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  • dar
    ·2021-06-01
    Noted
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  • Jojofi
    ·2021-06-01
    Good
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    • Jojofi
      [Miser]
      2021-06-01
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    • PeiYi99
      [Cool]
      2021-06-01
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  • wc77
    ·2021-06-01
    like and comment pls 
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    • Jazling
      Reply Pls
      2021-06-01
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  • ZEROHERO
    ·2021-06-01
    Most PRC are keeping to one child from previous policy with the mentality to give him/her the best. Not easy to turn back the block especially for the affluent and well educated.
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    • JAMKKT
      Ok
      2021-06-01
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