Xiao Bo, an analyst from Huarong Securities Co Ltd, said economic conditions in China are improving.
China's purchasing managers' index, a gauge of the country's manufacturing activity, stood at 50.6 in December. The index has gained 1.4 points since last August, Xiao said.
It is the third consecutive month the PMI reading has registered more than 50, the point separating expansion from contraction in manufacturing activities.
Xiao said the suspension of initial public offerings on the Chinese mainland's bourses since November will push more investors to buy existing shares due to reduced supply of new shares.
Fei said the new leaders elected during the 18th National Congress of the Communist Party of China have so far sent many positive signals to drive domestic consumption and urbanization, and this will support industries involved in infrastructure construction, railways, water conservation projects, and property.
"In addition, relatively low valuations of finance and real estate-related stocks may further trigger a market rebound," Fei said.
Wang Jianhui, analyst from Southwest Securities Co Ltd, was more confident than others and said he believes market growth will extend through the Lunar New Year.
"Food is the paramount necessity of life", so neither trivial nor minor is our daily eating.
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