Stocks edge higher, tech sector up on subsidy news

Stock markets in Shanghai and Shenzhen ended just north of even Wednesday although a lack of clear trading cues diluted sentiment.

The benchmark Shanghai Composite Index finished trading at 2,224.80 after adding 0.35 percent, or 7.79 points; while the Shenzhen Component Index tacked on 0.69 percent, or 60.77 points, to close at 8,869.85.

Combined trading volume at the two exchanges stacked up to just 156 billion yuan ($25.4 billion), drifting lower from Tuesday's 165 billion yuan.

Trading was choppy for most of the day, although bullishness on communications, environmental protection, technology and 3D printing stocks helped the markets climb into gains going into the home stretch. The Shanghai Composite was able to poke above its 10-day moving average as the day ended.

Technology shares got a boost following reports that the Ministry of Industry and Information Technology, in conjunction with the Ministry of Finance, would provide subsidies to businesses connected to China's Internet of Things. Guangdong Anjubao Digital Technology Co rose 5.81 percent to 17.30 yuan.

Media stocks also flourished. Huayi Brothers Media Co jumped through the 10-percent daily limit to 29.29 yuan.

Things were less rosy for coal stocks, which posted some of the day's biggest drops. Gansu Jingyuan Coal Industry and Electricity Power Co dived 2.62 percent to 9.65 yuan.

In individual equities, automobile manufacturer BYD Co notched its 10th straight victory Wednesday by adding 0.49 percent to 36.70 yuan. The Warren Buffet-backed stock has climbed 80 percent since April 16.

Cosmetics manufacturer Shanghai Jahwa United Co dropped through the daily limit to 62.99 yuan after the company resumed trading Wednesday. Jahwa's chairman Ge Wenyao was removed from his post recently due to a falling out with Jahwa's controlling shareholder Ping An Trust Co.