SHANGHAI shares rebounded yesterday as the digital technology sector was buoyed by the surging prices of bitcoin and on news about a coming Internet conference.
The Shanghai Composite Index rose 0.9 percent to 3,237.36 points, lifted by software producers and digital devices makers which gained 3.87 percent and 3.6 percent respectively.
Their rise came on the heels of a price surge of Bitcoin to over US$4,000 from below US$3,700 on Friday in the United States, while in the domestic market its price has soared over 40 percent to nearly 28,000 yuan (US$4,198) since the beginning of August. The price increase was caused by the US’ decision to tighten supervision on the trading of the cryptocurrency.
“Investors rushed to buy more of digital coins before trading will be limited, which lifted prices and benefited relevant high-tech companies,” Mingsheng Securities said.
Investors were also lifted after the Ministry of Industry and Information Technology said on its website China would hold the Fourth World Internet Conference between November and December, GF Securities said.