Auto, liquor sectors push mainland markets higher

Stock markets in the Chinese mainland rose on Monday backed by gains in the auto and liquor sectors.

The Shanghai Composite Index was up by 0.96 percent or 19.69 points to 2,066.65 points on Monday. The Shenzhen Component Index gained 1.00 percent or 71.89 points to 7,278.86 points.

The combined turnover on the two bourses on Monday was 235.06 billion yuan ($37.86 billion), increasing from Friday's 207.50 billion yuan.

Monday's gain was backed by liquor, auto and nonferrous stocks.

The auto sector, which was up more than 4 percent, outperformed due to strong gains in new-energy-related stocks. On Sunday, China unveiled a plan to encourage government organs to buy more new-energy vehicles. The sector was also helped by a policy announcement earlier last week to exempt green cars from purchase tax.

Nine companies in the auto sector soared by the daily limit of 10 percent on Monday. Shares in auto-parts maker Wanxiang Qianchao Co and Anhui Jiang-huai Automobile Co jumped by 10 percent to 13.09 yuan and 12.34 yuan, respectively.

Aerospace companies, which continued their upward trend last week on the expectation of government support to the sector, fell back on Monday. Aerospace Hi-Tech Holding Group Co declined by 4.84 percent to 26.37 yuan on Monday while AVIC Aircraft Co fell by 2.16 percent to 10.86 yuan.

ChiNext, China's NASDAQ-style board for high-tech and start-ups listed in Shenzhen, recovered from three consecutive sessions of fall, rising by 0.57 percent or 7.73 points to 1,367.07 points on Monday.