China's key stock index hits 20-month high

The Shanghai Composite Index closed on Thursday at its highest level since mid-February 2013 as the market sentiment remained strong.

The index, rising for the eighth straight day, crept up 0.28 percent to close at 2,389.37 points, its highest point in nearly 20 months. The Shenzhen Component Index closed at 8,204.01, up 0.25 percent.

Total turnover on the two bourses expanded to 450 billion yuan (73.2 billion U.S. dollars) from 391 billion yuan on the previous trading day. However, losers outnumbered winners on the two bourses by 1,484 to 1200 on Thursday.

The two indices lost some ground in midday trading after the strong rally, but began to climb in the afternoon on the back of strong performance in ship building and environmental protection sectors.

Shipbuilder China CSSC Holdings, was up 8.67 percent to 42.63 yuan per share. Beijing Capital, an environmental protection firm, rose 2.96 percent to 8.01 yuan.