1st Ld-Writethru: Chinese stocks close higher Tuesday

BEIJING, Dec. 19 (Xinhua) -- Chinese stocks closed higher on Tuesday, lifted by strong performances by banking and insurance companies.

The benchmark Shanghai Composite Index went up 0.88 percent to close at 3,296.54 points, and the Shenzhen Component Index closed 1.05 percent higher at 11,074.99 points.

Combined turnover on the two bourses stood at 332.8 billion yuan (about 50.3 billion U.S. dollars).

The banking sector gained strength in the afternoon session, with Rural Commercial Bank of Zhangjiagang surging by the daily limit of 10 percent to end the day at 11.44 yuan per share.

Ping An Bank went up 4.16 percent to close at 13.28 yuan per share, while China Merchants Bank gained 3.64 percent to 29.36 yuan.

Insurance companies also led the gains, with Ping An Insurance rising 4.12 percent to end the day at 73.58 yuan.

Bucking the trend, real estate services and iron ore sectors fell across the board.

The World Bank on Tuesday raised China's growth forecast for this year from 6.7 percent to 6.8 percent, based on rising household income and improving external demand.

It was the bank's second upward revision for China, after it revised up the projection from 6.5 percent to 6.7 percent in April. Enditem