Abstract: Phyllostachys edulis (Moso bamboo) stands with water storage in their stumps were selected. Three treatments were designed, i.e. 0 stump with water storage (CK), 12 stumps with water storage (T1) and 18 stumps with water storage (T2) in a plot (10 m×20 m), respectively. We measured the photosynthetic pigment content, photosynthesis and transpiration physiological indices of the 2yearold culms and the major environmental factors. We then compared the differences in photosynthetic pigment content, photosynthesis and transpiration rates of Moso bamboo with different numbers of stumps with water storage as well as their relationship with environmental factors. The results showed that: (1) The photosynthetic pigment content was in order of T2 > T1 > CK, and the largest increment of Chla, Chlb, Car and Chla+Chlb contents reached 17.05%, 14.49%, 25.93% and 17.19% respectively. (2) The diurnal variations of net photosynthetic and transpiration rates displayed in a pattern of unimodal curve. Both of them had no “photosynthetic noonbreak” phenomenon and were in order of T2> T1> CK. (3) After increasing stumps with water storage, the reduction of net photosynthetic rate between 12:00 and 14:00 was not caused by nonstomatal factors but by stomatal limitation. (4) Compared with CK treatment, the correlations of the net photosynthetic rate of Moso bamboo with environmental factors in T1 and T2 ranked in different orders. In the three treatments, the correlations of transpiration rate of Moso bamboo with environmental factors were different. Our results indicated that increasing the stumps with water storage in a certain range could increase photosynthetic pigment content, improve the photosynthesis and transpiration ability, increase the accumulation of photosynthetic products and improve the growth of Moso bamboo. Besides, photosynthetic pigment content, photosynthetic and transpiration capacity had a positive correlation with the number of stumps. This study provides a theoretical support for development of watersaving irrigation in Moso bamboo production.