China shares eke out weekly gain as PMI surveys support

Friday, 1 Nov 2013 | 3:09 AM ET

HONG KONG, Nov 1 (Reuters) - China shares eked out their first weekly gain in three weeks on Friday, with the Chinese banking sector mildly buoyed by a pair of surveys showing solid manufacturing activity in the world's second-largest economy.

The CSI300 of the leading Shanghai and Shenzhen A-share listings ended up 0.5 percent on the day and 0.7 percent on the week at 2,385 points. The Shanghai Composite Index rose 0.4 percent on Friday and 0.8 percent this week.

Shanghai bourse volume sank for a third-straight session on Friday, nearing their lowest for the week. This was both the benchmark indexes' first weekly gain since the week that ended Oct. 11.

Robust readings from China's official and the Markit/HSBC October manufacturing purchasing manager index (PMI) surveys helped eased growth concerns after a big divergence between the two in September and ahead of a key Nov. 9-12 policy meeting.

Short-term money rates in the mainland sank to their lowest in more than a week on Friday, following two cash injections by the central bank earlier this week that eased fears of a repeat of the dramatic end-June cash crunch.

(Reporting by Clement Tan; Editing by Jacqueline Wong)