Shares in Shanghai jumped 7.6 per cent on Wednesday on speculation that the government would announce measures to stimulate stock prices in what has been Asia’s worst-performing equity market this year.

Despite the big rise – the third largest one-day gain in 2008 – the Shanghai composite index has fallen by 52 per cent since the start of the year, and by 58.8 per cent since hitting an all-time high of 6,124.04 during trading on 16 October 2007.