(Yicai Global) March 21 -- Stock markets on the Chinese mainland moved higher in morning trading today amid dovish signals from the US Federal Open Market Committee that could lead to China easing its monetary policy.

The Shanghai Composite Index was up 0.61 percent at 3,109.48 at the break, with investors trading over CNY220 billion (USD33 billion) worth of shares, while the Shenzhen Component Index hit the mid-way mark at 9,857.51, up 0.58 percent with turnover of CNY260.8 billion. The ChiNext Price Index, which tracks growth enterprises in Shenzhen, was 0.58 percent higher at 1,697.67 after CNY71.2 billion of shares swapped hands.

Most sectors were up at the break. Communications led gainers with an average rise of 2.73 percent, with internet firms (2.71 percent), software makers (2.09 percent) and securities brokers (1.92 percent) showing promise. Only liquor, food and agriculture firms were down, but all had slid less than 1 percent.

The FOMC decided yesterday after a two-day meeting that the Fed would maintain the current benchmark interest rate of between 2.25 percent and 2.5 and avoid any hikes the rest of the year. The decision increased the likelihood that Chinese policymakers would cut interest rates in the future, according to CITIC Securities, the country's largest investment bank.

Editor: James Boynton