Shanghai Composite up 0.14% at 2,788 points (Il Sole 24 Ore Radiocor) - Shanghai , 05 Sep - Chinese shares closed slightly higher following yesterday's mixed session. In mainland stock market dealings several Chinese developers edged higher amid optimism over reports that the country is considering a two-phase interest rate reduction to support its struggling property sector.

On Wednesday, China's financial regulators proposed cutting interest rates on up to 5.3 trillion usd worth of existing mortgages. The move aims to lower borrowing costs for millions of homeowners and reduce the strain on the banking sector, according to Bloomberg sources familiar with the matter.

Healthcare, financial and consumer stocks also rose in mainland dealings.

Sentimennt was subdued yesterday as data pointing to slowing growth in China's services sector in August weighed. In August, China's purchasing managers' index for the services sector fell to 51.6 from 52.1 in July, according to data released by S&P Global along with local media partner Caixin.

The composite output index stood at 51.2, unchanged compared to the previous month.

Today the Shanghai Composite closed up 0.14% at 2,788 points while the Shenzhen CSI 300 rose 0.17% to 3,257 points.

Both indexes were down between 3% and 4% for August, leading the losses in the region for the month.

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(RADIOCOR) 05-09-24 11:08:28 (0239) 5 NNNN