Related News
Shanghai index flat on news of further tightening
By Feng Jianmin |
May 13, 2011, Friday
|
Online Edition
Online Edition
SHANGHAI'S key stock index was slightly higher after the central bank yesterday evening announced a rise in reserve requirements for the fifth time this year.
The benchmark Shanghai Composite Index went up 0.06 percent, or 1.63 points, to close at 2,845.71 in the morning session. Turnover was 56 billion yuan (US$8.4 billion), slightly lower than yesterday morning's 57.1 billion yuan.
Banks have been told to make less money available for lending as China continues its tightening. The reserve requirements will rise by 0.5 percentage points from next Wednesday, the People's Bank of China said.
"The measure met our expectations," said Cai Jian, an analyst with Huatai United Securities. "It was aimed at offsetting the inflow of hot money."
Cai said that larger banks can offer more loans while the smaller ones are facing pressure of tighter liquidity.
Banks were mixed. Industrial and Commercial Bank of China rose 1.1 percent to 4.54 yuan. China Merchants Bank edged down 0.2 percent to 13.90 yuan.
Coal miners were up after coal prices rose for eight consecutive days. China Shenhua Energy Co rose 0.9 percent to 27.72 yuan. Datong Coal Industry Co went up 0.6 percent to 17.86 yuan.
Cement producers dropped. Henan Tongli Cement Co shed 4.2 percent to 15.04 yuan.
The benchmark Shanghai Composite Index went up 0.06 percent, or 1.63 points, to close at 2,845.71 in the morning session. Turnover was 56 billion yuan (US$8.4 billion), slightly lower than yesterday morning's 57.1 billion yuan.
Banks have been told to make less money available for lending as China continues its tightening. The reserve requirements will rise by 0.5 percentage points from next Wednesday, the People's Bank of China said.
"The measure met our expectations," said Cai Jian, an analyst with Huatai United Securities. "It was aimed at offsetting the inflow of hot money."
Cai said that larger banks can offer more loans while the smaller ones are facing pressure of tighter liquidity.
Banks were mixed. Industrial and Commercial Bank of China rose 1.1 percent to 4.54 yuan. China Merchants Bank edged down 0.2 percent to 13.90 yuan.
Coal miners were up after coal prices rose for eight consecutive days. China Shenhua Energy Co rose 0.9 percent to 27.72 yuan. Datong Coal Industry Co went up 0.6 percent to 17.86 yuan.
Cement producers dropped. Henan Tongli Cement Co shed 4.2 percent to 15.04 yuan.
- 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.
