SHANGHAI Dec 9 China stocks edged up on
Wednesday, with property shares surging on policy support hopes
as well as signs that insurers are scrambling for stakes in
major real estate firms.

The market was also aided by stabilizing resource shares,
bolstered by evidence that Beijing is accelerating consolidation
among metal producers.

The blue-chip CSI300 index rose 0.4 percent, to
3,635.94, while the Shanghai Composite Index gained 0.1
percent, to 3,472.44 points.

Investors seemed to ignore Wednesday data showing China’s
consumer inflation picked up slightly in November, even as
factories are still plagued by producer price deflation.

Real estate was again in the spotlight. An index tracking
the sector shot up 5.4 percent on hopes that
Beijing will provide more support for the industry. A media
report said some lower-tier cities are subsidising farmers to
buy houses.

Investor enthusiasm for the sector was rekindled when China
Vanke Co, the biggest listed developer, said on
Wednesday that Anbang Insurance Group had been acquiring its
shares, and currently owned 5 percent. It is the second insurer
collecting Vanke shares in the secondary market.

Vanke shares surged 10 percent, the upward limit.

Resource-related shares were firm after China
Minmetals Corp’s acquisition of China Metallurgical
Group Corp fuelled expectations of more consolidation
in the mining sector to tackle industry overcapacity.

(Reporting by Samuel Shen and Pete Sweeney; Editing by Richard
Borsuk)