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Shanghai stocks stumble as IPOs start
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SHANGHAI stocks tumbled with the benchmark Shanghai Composite Index losing nearly 2 percent today as concerns over liquidity was reignited ahead of the initial public offering subscriptions of five companies in the local market this week.
The Shanghai Composite Index dropped 1.7 percent to 2,289.87 points.
Zhejiang Wansheng, Jiangsu Province Communications Planning And Design Institute, Zhejiang Jiuzhou Pharmaceutical and Lanzhou LS Heavy Equipment will start the IPO subscription process on Wednesday, followed by Ningbo Orient Wires & Cables that will open for subscription on Thursday.
The new round of IPOs is expected to lock more than 600 billion yuan (US$97.62 billion) of funds in subscriptions.
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