SAIC gains week's most as GM lifts China forecast

Shanghai, September 3 (Gasgoo.com) SAIC Motor Corp. has gained the most in a week in Shanghai stock market trading after U.S. partner General Motors increased its forecast for full-year China sales, Bloomberg reported today.

SAIC, the biggest automaker in China, advanced 6.7% to 18.55 yuan a share in Shanghai today, the most since Aug. 26. Chongqing Changan Automobile Co., a partner of Ford Motor Co., jumped 7.4% in Shenzhen trading.

GM said yesterday its sales in China may rise more than 40% this year after sales in August more than doubled from a year earlier. Changan Ford Sales Co. also doubled sales last month after China cut vehicle taxes to spur demand.

GM and its two Chinese ventures, both part-owned by SAIC, sold 152,365 vehicles last month. Changan Ford's August sales rose to 21,127 vehicles.

The Shanghai stocks benchmark index today climbed by 130.05, or 4.8%, to 2,845.02 at the close, the biggest gain since March 4, on speculation China's regulators will boost the nation’s equities following declines in the past month.