Chinese shares mixed in morning trade

Chinese share prices were mixed on Thursday morning trade with Shanghai slightly higher on follow-through interest after a 2.48 percent jump in the previous session, dealers said.

They said investors were encouraged to buy large caps amid hopes that China will soon launch stock index futures, a key financial derivative, but weak earnings reports from state-owned companies may weigh on the market.

State media reported Thursday that China's 410 key state-owned enterprises posted a combined profit of 352.6 billion yuan (50.4 billion dollars) in the first four months of 2008, down 1.3 percent year-on-year.

The benchmark Shanghai Composite Index, which covers A and B shares, added 12.23 points or 0.35 percent to 3,471.26 at 10:18 am (0218 GMT).

The Shanghai A-share index was up 12.89 points or 0.36 percent to 3,642.22 points, but the Shenzhen A-share index dropped 1.90 points or 0.17 percent to 1,107.48.

(Agencies)