Surge of bank shares lifts Chinese stocks

China's stocks rose for a fourth day, lifting the key stock index to its highest in a week. China Merchants Bank Co and other lenders jumped on speculation that the government would cut their taxes before the year-end to boost earnings.

China Vanke Co and real estate developers climbed after the government unveiled policies to boost the property market. China Life Insurance Co rose after reporting its 11-month premium income rose 53 percent.

The CSI 300 Index, which tracks yuan-denominated A shares traded on the Chinese mainland's two exchanges, climbed 43.68, or 2.2 percent, to 2,045.10 at the 3 pm local-time close, bringing this week's gains to 4.3 percent. Financial stocks rose the most among the 10 industry groups.