China's major index closes at 19-month high

World
Europe

China's benchmark Shanghai Composite Index closed up 0.6 percent at 3,292.64 points, the highest in nearly 19 months. This comes one day after the country's official Purchasing Managers' Index was released, showing a continued expansion for the 12th straight month.

Meanwhile, the Shenzhen Component Index closed 0.19 percent higher at 10,525.35 points. The ChiNext Index, which tracks China's NASDAQ-style growth enterprise board, gained 0.27 percent to close at 1,741.07 points.

Positive manufacturing numbers helped to lift Chinese stocks on Tuesday. The Caixin China General Manufacturing Managers' Index stood at 51.1 for July, up from 50.4 in June, the highest level in four months, according to a survey conducted by financial information service provider Markit and sponsored by Caixin Media Co. Ltd.

China's manufacturing activities continued to expand in July. /163.com Photo

China's official PMI data came in on Monday. PMI was 51.4 in July, down from 51.7 in June, expanding for the 12th straight month in July.

Financial sectors were also strong, with insurance firms sitting at the top. New China Life Insurance almost reached its 10 percent daily limit. Brokerages and banking stocks also followed suit. "Xiongan concept" shares were also big gainers.

Anbang Insurance Group on Tuesday responded to foreign reports which accused it of selling overseas investments amid a tough financial crackdown, including Waldorf Astoria Hotel purchased in 2014. Anbang answered that it has no plans to sell any of its foreign assets.

Resources counters extended losses into another day, with coal miners and metal producers tanking. Coal companies dropped the most. Shanxi Coal International Energy Group fell 3.75 percent, while Datong Coal Industry shed 4.1 percent.