China Shenhua Energy Co., the publicly traded unit of the nation’s biggest coal producer, posted a 7.8 percent decline in annual profit as the government began an anti-pollution campaign and coal prices fell.
Asian stocks rose, with the regional benchmark index paring last week’s losses, as Japanese markets surged on reopening after a holiday and as investors were unfazed by a drop in Chinese manufacturing activity.
Hong Kong stocks rose on favorable earnings reports, with Chinese shares listed in the city extending a rebound after entering a bear market last week. Companies rallied as mainland manufacturing missed estimates, spurring bets the government will act to stabilize growth.
China’s stocks rose, sending the benchmark index to its biggest two-day gain since November, amid speculation the government will take further steps to bolster the economy after a manufacturing index unexpectedly fell.
China’s CSI 300 Index fell to the lowest level in five years, while Chinese stocks in Hong Kong entered a bear market after the yuan weakened and Goldman Sachs Group Inc. reduced the nation’s economic growth forecast.