BEIJING - Chinese stocks kicked off the first trading day of 2021 on Monday on an upbeat note, with the benchmark Shanghai Composite Index up 0.86 percent at 3,502.96 points.

The Shenzhen Component Index closed 2.47 percent higher at 14,827.47 points.

The combined turnover of stocks covered by the two indices expanded to 1.16 trillion yuan ($178.02 billion).

Stocks related to pork, liquor production and military defense led the gains, with shares of Muyuan Foods Co Ltd surging by the daily limit of 10 percent to close at 84.81 yuan apiece.

Shares in banks, eye care and insurance were among the biggest losers.

The ChiNext Index, tracking China's NASDAQ-style board of growth enterprises, gained 3.77 percent to close at 3,078.11 points.