Chinese authorities have introduced further emergency measures to prevent a collapse of the local stockmarket, after it plummeted 7% in the first trading session of 2016.
The latest market intervention saw state-owned companies in Beijing buying shares to prop up the struggling stockmarket, while regulators extended a selling ban on major companies to put a stop to the sell-off. The People's Bank of China also injected another 130bn yuan ($20bn) into the financial system, the largest sum pumped into the economy since September. The new measures caused the Shanghai Composite index to rally 2.3% to close the day at 3,362, following two days of declines. The selling ban on major listed companies affects investors holding more than 5% of the company and...
To continue reading this article...
Join Investment Week for free
Signup and gain exclusive members-only insights - all free of charge!
- Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
- Get ahead of regulatory and technological changes affecting fund management
- Important and breaking news stories selected by the editors delivered straight to your inbox each day
- Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
- Be the first to hear about our extensive events schedule and awards programmes
