Chinese shares rise for 2nd day after plunge

Chinese shares continued to trend upward on Wednesday, gradually recovering from Monday's 3.65-percent plunge.

The benchmark Shanghai Composite Index moved up 0.9 percent, or 20.87 points, to end at 2,347.18, while the Shenzhen Component Index gained 0.96 percent, or 89.81 points, to 9,431.17.

Combined turnover on the two bourses expanded to 254.8 billion yuan (40.6 billion U.S. dollars) from 223.3 billion yuan the previous trading day.

The rise followed a new record for the Dow Jones Industrial Average, which hit an all-time high of 14,253.77 on Tuesday.

The telecommunications sector led the rises on Wednesday after an official disclosed on the sidelines of the ongoing annual session of the country's national legislature that China may start licensing telecom operators to offer services on its fourth-generation (4G) mobile phone network in 2013.

Lifted by the news, telecoms equipment supplier ZTE surged by the daily limit of 10 percent to end the day at 10.86 yuan per share.

Bio-pharmaceutical companies continued to see robust performance on Wednesday, with Wohua Pharmaceuticals gaining 10 percent to 11.39 yuan per share.

Property shares begin to stabilize from heavy losses registered in previous trading days following the government's announcement of new property curbs.

China Vanke, the nation's biggest property developer by market value, rose 2.39 percent to close at 11.15 yuan, while Poly Real Estate, the second-largest developer in China, edged up 0.89 percent to end the day at 11.35 yuan per share.