FTSE 250 movers: China stimulus hopes boost commodity producers

22nd Dec 2015 15:14

(ShareCast News) - The FTSE 250 was up 0.49% to 17,162.29 points, led by mining companies after China's government hinted at further stimulus measures. The Chinese government said monetary policy must be more "flexible" and fiscal policy more "forceful" , according to a statement release at the end of the Central Economic Work Conference by the official Xinhua News Agency on Monday."The inference that this could mean that further stimulus could be in the pipeline has gone down well with the commodity currencies today," according to Rabobank."That said, this news needs to be weighed up against the fact that the Chinese authorities also indicated that they are acutely conscience of the need to tackle issues such as over-capacity in industrial infrastructure and property. Shrinking Chinese consumption for commodities such as steel is related to the property led slowdown."However, China's government said they want to create "appropriate monetary conditions for structural reforms" in an effort to boost growth, including widening the fiscal deficit and stimulating the housing market.Acacia Mining, Centamin and Vedanta Resources were among the top risers on London's second tier index.The London Metal Exchange also saw some profit taking spikes ahead of the Christmas holiday, providing a boost to mining stocks.FTSE 250 - RisersAmec Foster Wheeler (AMFW) 415.70p 6.02%Acacia Mining (ACA) 176.30p 5.44%Investec (INVP) 487.30p 4.12%Lookers (LOOK) 173.80p 4.07%Centamin (DI) (CEY) 64.85p 3.84%Cineworld Group (CINE) 567.00p 3.56%Vedanta Resources (VED) 272.30p 3.54%Drax Group (DRX) 237.90p 3.52%UBM (UBM) 519.50p 2.87%Moneysupermarket.com Group (MONY) 363.80p 2.77%FTSE 250 - FallersCard Factory (CARD) 368.40p -2.67%Ocado Group (OCDO) 329.70p -2.63%DFS Furniture (DFS) 331.30p -1.95%PayPoint (PAY) 934.00p -1.68%Halfords Group (HFD) 328.70p -1.65%Supergroup (SGP) 1,689.00p -1.46%Aveva Group (AVV) 1,606.00p -1.23%Big Yellow Group (BYG) 818.00p -1.21%Spire Healthcare Group (SPI) 284.00p -1.15%Zoopla Property Group (WI) (ZPLA) 232.90p -1.15%