Chinese shares mixed in morning trade, Shanghai up 0.91 percent

Chinese share prices ended Thursday morning trade mixed, with the Shanghai bourse up 0.91 percent supported by a rebound in heavyweight stocks, dealers said.

They said that investors picked up oversold heavyweight financials and oil refiners after a string of recent sharp losses.

But they also warned gains did not signal a recovery as investor confidence remains fragile with the Shanghai Composite Index hovering just above 3,300 points, while hoped for market-boosting policies have not materialised.

The benchmark Shanghai Composite Index, which covers A and B shares, gained 30.31 points to 3,378.19.

"Heavyweights such as insurers and banks helped to stabilize the market," said Zhang Gang, an analyst at Central China Securities.

"Investors are still awaiting market-friendly policy announcements from the government, which may come in anytime during the national holiday weekend."

Property developers dragged down the Shenzhen stock market amid concerns over excessive supply hitting the market soon.

COFCO Property tumbled over nine percent after the company said 24.5 million of its shares will come out of lock-up period next Tuesday.

The Shanghai A-share Index rose 32.08 points or 0.91 percent to 3,545.05, but the Shenzhen A-share fell 3.18 points or 0.31 percent to 1,024.96.

(Agencies)