China shares rebound on improved flash PMI

China shares on Tuesday clawed back some of the previous day's losses after a preliminary survey showed China's manufacturing sector unexpectedly picked up in September, while the Hong Kong market hovered near two-month lows. The HSBC/Markit Flash China Purchasing Managers' Index (PMI) rose to 50.5 in September from August's final reading of 50.2, beating a Reuters poll forecast of 50.0. The Hang Seng Index, which has fallen 10 out of the 12 past sessions, was flat by midday at 23,960.43 points. The China Enterprises Index of the top Chinese listings in Hong Kong was up 0.3 percent. Chinese property developers were the standout performers early Tuesday, after a report by the official Shanghai Securities News said one of China's top four state banks plans to ease rules on mortgage lending as the government seeks to bolster the flagging real estate market. China's largest residential developer China Vanke climbed 3.6 per cent in Hong Kong and 1.2 per cent in Shenzhen. Poly Real Estate Group rose 1.3 per cent in Shanghai, according to Reuters.