China Stocks Rise on Report Share Sales to Slow; Ping An Gains

By Zhang Shidong

July 21 (Bloomberg) -- China's stocks rose to a one-week high after the China Securities Journal reported that regulators may slow approvals for stock sales as part of measures to ensure ``stable and healthy'' markets.

Ping An Insurance (Group) Co., the country's second-largest insurer, and China Merchants Bank Co. led the advance.

``The market received a lift from the market talk about the regulator, which triggered some buying,'' said Zheng Tuo, who manages the equivalent of $790 million at Bank of Communications Schroders Fund Management Co. in Shanghai. ``But the effect of that will fade. It's still the fundamentals that determine the market's direction.''

The CSI 300 Index, which tracks yuan-denominated A shares listed on China's two exchanges, rose 95.59, or 3.4 percent, to 2,911.05 at the close, the highest since July 14. All of the measure's 10 industry groups rose.

To contact the reporter on this story: Zhang Shidong in Shanghai at szhang5@bloomberg.net