China’s Stock Index Futures Rise; Airlines, Miners May Advance

China’s stock-index futures rose, signaling gains for the benchmark index, after the world’s biggest chipmaker reported record second-quarter sales and Singapore raised its economic growth forecast, driving optimism the global economy is recovering.

Futures on the CSI 300 Index expiring in July, the most active contract, gained 0.4 percent to 2,642 as of 9:16 a.m. local time. The Shanghai Composite Index, which tracks the bigger of China’s stock exchanges, dropped 40.43, or 1.6 percent, to 2,450.29 yesterday. The CSI 300 Index fell 1.6 percent to 2,634.59.

“Robust earnings from big global companies will ease concerns about a possible slump in export growth,” said Wei Wei, an analyst at West China Securities Co. in Shanghai. “We’ll probably see fairly healthy export growth in the coming months.”

Air China Ltd. may gain among carriers after the Xinhua News Agency reported passenger numbers increased in the first half of the year. Jiangxi Copper Co. and PetroChina Co. may pace an advance by commodity producers after metal and oil prices rose.

The Shanghai Composite has slumped 25 percent in 2010, making it Asia’s worst performer, on concern government efforts to curb inflation and property speculation will slow the economy. advanced 0.6 percent.

The stock gauge fell the most in two weeks yesterday after the Ministry of Housing and Urban-Rural Development reiterated that it will maintain curbs on speculative purchases and increase market supply, while China’s banking regulator said it has made no changes to policies on home loans.

Economic Data

Intel Corp., the first big technology company to report second-quarter earnings in the world’s biggest economy, said third-quarter sales will be about $11.6 billion.

Analysts had estimated $10.9 billion on average, according to a Bloomberg survey. The company also said second-quarter net income was $2.89 billion, or 51 cents a share, compared with analysts’ estimates of a profit of 43 cents a share.

The London Metal Exchange Index, a measure of six metals including copper and zinc, gained 1.1 percent yesterday. Yesterday, copper futures for September delivery climbed 0.3 percent in New York while crude oil for August delivery advanced 2.9 percent to the highest level in more than two weeks.

Singapore GDP

Separately, Singapore raised its growth forecast for a third time this year after manufacturing output surged and the opening of two casinos boosted services, spurring a recovery that’s prompted the central bank to tighten monetary policy.

Chinese airlines’ passenger numbers in the first half of this year rose by more than 17% from a year earlier to 126 million, Xinhua News Agency reported, citing Li Jiaxiang, director of the General Civil Aviation Administration of China.

Chinese investors opened 217,557 new stock accounts during the week ended July 9 during the week, according to the clearing house. That’s the lowest for a five-day week since Feb. 12.

Thanks To : BUSINESSWEEK

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