China shares end at new 7-week peak, investors pocket gains in banks

SHANGHAI, April 9 Wed Apr 9, 2014 3:08am EDT

SHANGHAI, April 9 (Reuters) - China shares ended at a new 7-week high on Wednesday, as certain tech stocks outperformed but profit-taking in banking shares weighed on index performance.

The Shanghai Composite Index ended up 0.3 percent at 2,105.24 points, its highest close since Feb. 21. The CSI300 of the leading Shanghai and Shenzhen A-share listings rose 0.1 percent.

Banks were the biggest drag after investors cashed in gains from Tuesday's excitement over preferred shares that saw the CSI300 banking sub-index reach a 3-1/2-month high.

Industrial Bank Co Ltd slid 0.6 percent , while China Minsheng Banking Corp Ltd and Ping An Bank Co Ltd shed 1.1 percent and 0.8 percent, respectively. Overall, the index was down 0.5 percent.

Though not listed, Alibaba IPO-ALIB.N continued to have an impact on mainland markets, snapping up its second firm in as many days ahead of its U.S. IPO.

Shares in Shenzhen-listed Wasu Media Holding Co Ltd surged 10 percent, the daily trading limit, after it said Alibaba founder Jack Ma and other partners had agreed to buy a 20 percent stake in the firm for $1.05 billion.

On Tuesday, Ma announced he would take a 3.3 billion yuan ($532.53 million) stake in the financial software firm Hundsun Technologies, sending the stock up 10 percent on Tuesday, and another 10 percent on Wednesday.

($1 = 6.1968 Chinese Yuan) (Reporting By Natalie Thomas; Editing by Jacqueline Wong)

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