Mainland stock markets rebound on improved manufacturing data

Stock markets on the Chinese mainland recovered from the previous trading day's decline after a preliminary manufacturing index showed improvement in factory activity in September.

The Shanghai Composite Index was up by 0.87 percent or 19.85 points to 2,309.72 points on Tuesday. The Shenzhen Component Index rose by 0.89 percent or 70.02 points to 7,965.89 points.

Combined turnover on the two bourses on Tuesday was 300.07 billion yuan ($48.87 billion), down from the previous trading session's 319.80 billion yuan.

Tuesday's gain came after data showed a pickup in manufacturing activity in September. The HSBC/Markit Flash Purchasing Managers' Index rose to 50.5, compared with the final reading of 50.2 in August. The figure above 50 indicates expansion.

Aerospace companies were the biggest gainers on Monday.

Aerospace Communications Holdings Co and AVIC Heavy Machinery Co jumped by the daily limit of 10 percent to 18.58 yuan and 26.62 yuan, respectively.

Real estate companies rallied after media reported on Monday that Big Four banks would ease rules on mortgage lending in order to aid the housing market.

China Vanke Co, the country's biggest developer by sales, added 1.19 percent to 9.33 yuan and Poly Real Estate Group Co, the second-largest, inched up by 1.27 percent to 5.59 yuan.

Stocks in machinery companies also gained strongly on Tuesday. China First Heavy Industries and Jiangsu Jianghuai Engine Co soared by the daily limit of 10 percent to 3.03 yuan and 5.93 yuan, respectively.

ChiNext, China's NASDAQ-style board for high-tech and start-ups listed in Shenzhen, gained by 1.19 percent or 17.64 points to 1,500.99 points on Tuesday.