Related News
Stocks post biggest loss in seven weeks
By Ye Zhen |
June 4, 2013, Tuesday
|
Online Edition
Online Edition
SHANGHAI stocks ended with the biggest decline in seven weeks after small caps suffered from weak economic data, home appliance makers were hit by expiring government subsidies and the market suffered a glut of unlock shares newly eligible for sale.
The benchmark Shanghai Composite Index fell for a fourth straight day, shedding 26.84 points, or 1.17 percent, to 2,272.42.
"Holders of small and medium-cap stocks got a wake-up call from HSBC's China Purchasing Managers' Index, which fell back into contraction territory again in May and recorded the lowest level in eight months," Guangzhou Wanlong Securities Consulting Co said today.
The index generally tracks privately owned companies, dominated by medium- and smaller-sized businesses.
Media firms, medical equipment producers and motorcycle makers were the biggest losers. The ChiNext index for start-up companies slid 29.68 points, or 2.8 percent, to 1,022.46.
Shares in home appliance makers declined after the government ended subsidies aimed at increasing consumer spending. Hisense Electric Co dropped 3.5 percent to 12.41 yuan. Qingdao Haier Co lost 1.96 percent to 12.49 yuan.
Market sentiment is also being undermined by volumes of locked shares ending their non-tradable period and coming onto the market for sale.
In May, investors sold a net of 24.7 billion yuan (US$4 billion) of non-tradable shares when they emerged from locked status. That was an increase of 19.4 billion yuan from April, according to China Galaxy Securities.
An estimated 1.12 trillion yuan of currently non-tradable shares will be released to the market in the next three months, according to Galaxy. Big stakeholders in initial public offerings are sometimes prohibited from selling shares for a specified period of time.
The benchmark Shanghai Composite Index fell for a fourth straight day, shedding 26.84 points, or 1.17 percent, to 2,272.42.
"Holders of small and medium-cap stocks got a wake-up call from HSBC's China Purchasing Managers' Index, which fell back into contraction territory again in May and recorded the lowest level in eight months," Guangzhou Wanlong Securities Consulting Co said today.
The index generally tracks privately owned companies, dominated by medium- and smaller-sized businesses.
Media firms, medical equipment producers and motorcycle makers were the biggest losers. The ChiNext index for start-up companies slid 29.68 points, or 2.8 percent, to 1,022.46.
Shares in home appliance makers declined after the government ended subsidies aimed at increasing consumer spending. Hisense Electric Co dropped 3.5 percent to 12.41 yuan. Qingdao Haier Co lost 1.96 percent to 12.49 yuan.
Market sentiment is also being undermined by volumes of locked shares ending their non-tradable period and coming onto the market for sale.
In May, investors sold a net of 24.7 billion yuan (US$4 billion) of non-tradable shares when they emerged from locked status. That was an increase of 19.4 billion yuan from April, according to China Galaxy Securities.
An estimated 1.12 trillion yuan of currently non-tradable shares will be released to the market in the next three months, according to Galaxy. Big stakeholders in initial public offerings are sometimes prohibited from selling shares for a specified period of time.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 娌狪CP璇侊細娌狪CP澶05050403鍙-1
- |
- 浜掕仈缃戞柊闂讳俊鎭湇鍔¤鍙瘉锛31120180004
- |
- 缃戠粶瑙嗗惉璁稿彲璇侊細0909346
- |
- 骞挎挱鐢佃鑺傜洰鍒朵綔璁稿彲璇侊細娌瓧绗354鍙
- |
- 澧炲肩數淇′笟鍔＄粡钀ヨ鍙瘉锛氭勃B2-20120012
Copyright 漏 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
