Stock index declines to 15-month low
By Feng Jianmin and Pan Xiaoyi |
July 6, 2010, Tuesday
|
Print Edition
Print Edition
SHANGHAI stock market declined to a 15-month low yesterday on concerns of a slowing economic outlook and liquidity.
The benchmark Shanghai Composite Index lost 0.8 percent, or 18.95 points, to close at 2,363.95, the lowest close since April 8, 2009. Turnover shrank to 43 billion yuan (US$6.3 billion) from 61.5 billion yuan last Friday.
"The impact of the financial crisis has been more severe than expected, and the road to recovery is more uncertain," said Premier Wen Jiabao during a tour to three provinces in south China over the weekend.
His comments cast a cloud over the stock market yesterday.
"Investor sentiment is already weak and it will take time for investors to recover from the pessimistic outlook toward the macro-economy and market liquidity," said Yang Jianbo, an analyst at Sinolink Securities Co.
Banks dropped after the Bank of China announced a plan to raise as much as 60 billion yuan in a rights offer, adding to the liquidity concerns as the Agricultural Bank of China will start online subscription for its initial public offering today. The BOC eased 0.9 percent to 3.37 yuan. China Merchants Bank fell 1 percent to 12.78 yuan. The Industrial and Commercial Bank of China, however, was unchanged at 4.06 yuan.
Auto makers were mixed after China's vehicle sales grew more slowly in June. SAIC Motor Corp lost 0.7 percent to 12.31 yuan and Dongfeng Automobile Co added 0.2 percent to end at 4.42 yuan.
Datong Coal Industry Co slid 4.5 percent to 25.77 yuan and China Shenhua Energy Co fell 1.9 percent to end at 20.75 yuan.
The benchmark Shanghai Composite Index lost 0.8 percent, or 18.95 points, to close at 2,363.95, the lowest close since April 8, 2009. Turnover shrank to 43 billion yuan (US$6.3 billion) from 61.5 billion yuan last Friday.
"The impact of the financial crisis has been more severe than expected, and the road to recovery is more uncertain," said Premier Wen Jiabao during a tour to three provinces in south China over the weekend.
His comments cast a cloud over the stock market yesterday.
"Investor sentiment is already weak and it will take time for investors to recover from the pessimistic outlook toward the macro-economy and market liquidity," said Yang Jianbo, an analyst at Sinolink Securities Co.
Banks dropped after the Bank of China announced a plan to raise as much as 60 billion yuan in a rights offer, adding to the liquidity concerns as the Agricultural Bank of China will start online subscription for its initial public offering today. The BOC eased 0.9 percent to 3.37 yuan. China Merchants Bank fell 1 percent to 12.78 yuan. The Industrial and Commercial Bank of China, however, was unchanged at 4.06 yuan.
Auto makers were mixed after China's vehicle sales grew more slowly in June. SAIC Motor Corp lost 0.7 percent to 12.31 yuan and Dongfeng Automobile Co added 0.2 percent to end at 4.42 yuan.
Datong Coal Industry Co slid 4.5 percent to 25.77 yuan and China Shenhua Energy Co fell 1.9 percent to end at 20.75 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.
