Related News
Chinese stocks rally Friday after circuit breaker suspended
Online Edition
Chinese stocks bottomed out from yesterday's heavy losses, following an announcement by the Securities regulator that it was suspending the "circuit breaker" mechanism.
The benchmark Shanghai Composite Index gained 1.97 percent to close at 3,186.41 points on Friday. The smaller Shenzhen index gained 1.2 percent to close at 10,888.91 points.
Total turnover on the two bourses stood at 761.6 billion yuan (US$116.03 billion).
The circuit breaker, which came into effect on Jan. 1, was triggered on Monday and Thursday, after the Hushen 300 Index plunged 7 percent on both trading days.
"Currently, the negative effects of the mechanism are greater than the positive effects. Thus, the China Securities Regulatory Commission (CSRC) decided to suspend the mechanism to maintain market stability," a CSRC spokesperson said on Thursday night.
Sentiment was also lifted by a renewed government pledge to slash excessive industrial capacity in some sectors.
Sub-indices related to coal mining, steel, and non-ferrous metal led the gains on Friday, all of which are mired in excess capacity.
During an inspection tour earlier this week in north China's Shanxi Province, which is known for large coal reserves, Premier Li Keqiang called for "unyielding effort" to eliminate excess industrial capacity to make way for new growth engines.
Over 20 coal sector stocks rose by the daily limit of 10 percent.
The ChiNext Index, the NASDAQ-style board of growth enterprises, lost 0.33 percent to close at 2,248.99 points.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
