STOCKS were at a one-week high yesterday as U.S. senators and Trump administration officials reached an agreement on a massive economic stimulus bill to cushion the economic hit from the coronavirus outbreak.

The Shanghai Composite index closed up 2.2 percent at 2,781.59. The blue-chip CSI300 index gained 2.7 percent. Both benchmarks hit their highest since March 18 during the session. CSI300’s financial sector sub-index rose higher by 2.3 percent, the consumer staples sector was up 2.1 percent, the real estate index rallied 5 percent and the health-care sub-index gained 3.4 percent.

The smaller Shenzhen index rose 2.9 percent and the startup board ChiNext Composite index was higher by 3.2 percent.

The U.S. Senate will vote on the US$2 trillion package later in the day and the House of Representatives is expected to follow suit soon after.

“Overall, retail investors in China are confident in the Chinese stock market … as the pandemic continues to ease in China, we expect to see more foreign investment flowing into the market,” said Toby Wu, senior analyst at eToro.

Around the region, MSCI’s Asia ex-Japan stock index was firmer by 4.2 percent, while Japan’s Nikkei index closed up 8 percent.

So far this year, the Shanghai stock index is down 8.8 percent and the CSI300 has fallen 9.1 percent. Shanghai stocks have declined 3.4 percent this month.(SD-Agencies)