China Stock Market Poised For Continued Support

(RTTNews) - The China stock market has moved higher in five straight sessions, gathering more than 80 points or 2.8 percent along the way. The Shanghai Composite Index now rests just above the 3,020-point plateau and it's looking at another green light for Tuesday's trade.

The global forecast for the Asian markets is upbeat on easing treasuries and ahead of key data later this week. The European and U.S. markets were up and the Asian markets figure to open in similar fashion.

The SCI finished slightly higher on Monday as gains from the resource stocks were offset by weakness from the financials and properties.

For the day, the index picked up 3.77 points or 0.12 percent to finish at 3,021.55 after trading between 3,002.35 and 3,028.26. The Shenzhen Composite Index jumped 25.93 points or 1.40 percent to end at 1,884.54.

Among the actives, Industrial and Commercial Bank of China retreated 1.68 percent, while Bank of China declined 1.29 percent, China Construction Bank plunged 3.41 percent, China Merchants Bank tumbled 2.00 percent, Bank of Communications plummeted 3.95 percent, China Life Insurance dropped 0.84 percent, Jiangxi Copper advanced 0.99 percent, Aluminum Corp of China (Chalco) rallied 1.66 percent, Yankuang Energy stumbled 1.39 percent, PetroChina crashed 3.91 percent, China Petroleum and Chemical (Sinopec) surrendered 3.75 percent, Huaneng Power skidded 1.04 percent, China Shenhua Energy tanked 2.11 percent, Gemdale dropped 1.09 percent, Poly Developments slumped 2.94 percent and China Vanke eased 0.26 percent.

The lead from Wall Street is strong as the major averages opened higher on Monday and mostly improved as the day progressed, ending near session highs.

The Dow surged 511.37 points or 1.58 percent to finish at 32,928.96, while the NASDAQ rallied 146.47 points or 1.16 percent to end at 12,789.48 and the S&P 500 gained 49.45 points or 1.20 percent to close at 4,166.82.

The rebound on Wall Street reflected bargain hunting, with traders picking up stocks at reduced levels following last week's sell-off - which reflected ongoing concerns about the outlook for interest rates and concerns in the Middle East.

Meanwhile, traders continued to look ahead to the Federal Reserve's highly anticipated monetary policy announcement on Wednesday.

With the Fed widely expected to leave interest rates unchanged, traders will pay close attention to the accompanying statement for clues about the potential for further rate hikes.

Oil prices declined sharply Monday amid easing concerns about supply disruptions from the Middle East region. Investors are also looking ahead to the Federal Reserve's monetary policy announcement and the non-farm payroll data for October on Friday. West Texas Intermediate Crude oil futures for December slumped $3.23 or 3.8 percent at $82.31 a barrel.

Closer to home, China will see October results for its manufacturing, non-manufacturing and composite indexes from the National Bureau of Statistics later this morning; in September, their scores were 50.2, 51.7 and 52.0, respectively.