BEIJING, Nov. 22 (Xinhua) -- Chinese share prices on Thursday slumped heavily as the benchmark Shanghai Composite Index, which covers both A and B shares, plunged 230 points, or 4.41 percent, to 4,984.16 points at the close.
Heavy-weights such as PetroChina, China Pingan and Citic Securities led the downward trend.
PetroChina, the country's largest oil producer, lost 4.64 percent to 35.11 yuan on the fourth day of its entry into the Shanghai Composite Index list.
China Pingan dropped 7.78 percent to 106.89 yuan. Citic Securities slumped 6.39 percent to 87.24 yuan.
Less than 100 stocks gained in the two markets which saw more than 1,200 losses. This could be a reaction to the corrections of the U.S. and Hong Kong markets, dealers said.
Analysts said the market is under pressure resulting from insufficient capital, as capital chasing sales of new stocks was locked in by the subscription process and the government's tightened monetary policy began to bite.
The heavy loss dampened investor sentiments as the combined turnover on the two bourses (Shanghai and Shenzhen) shrank to 99.6billion yuan from 103 billion yuan on the previous trading day.
The Shenzhen Component Index on the smaller Shenzhen Stock Exchange dived 798.8 points, or 4.77 percent, to 15,949.36 points.
The Hushen 300 Index, accounting for 60 percent of the nation's stock market value, was down 225 points, or 4.5 percent, to 4,772.62 points.(One U.S. dollar equals 7.41 yuan)
Expert: China's excess liquidity
surpasses central bank's expectations
BEIJING, Nov. 11 (Xinhua) -- A senior researcher with
the Chinese Academy of Social Sciences (CASS) on Sunday said the latest reserve
requirement ratio hike has revealed that China's excess liquidity has risen
beyond the expectations of the central bank.
Peng Xingyun, of the CASS Institute of Finance and
Banking, told Xinhua that the People's Bank of China (PBOC) had raised the ratio
before releasing its financial figures for October, indicating the bank's
concern. Full story
WB: China economy to grow 10.8% next
year
BEIJING, Nov. 16
-- East Asian economies are likely to remain healthy next year despite the
impact of the widening subprime lending crisis in the U.S. and the renewed
increase in crude oil prices, the World Bank said Thursday. The region's rapid
growth is also reducing poverty, although income inequality is expanding.
Led by domestic demand, growth in emerging East Asia,
which excludes Japan, is expected to exceed 8 percent this year for a second
year in a row, and to moderate slightly next year, the bank said in its
half-yearly update on the region's outlook. Japan is likely to grow about 2
percent this year and 1.8 percent in 2008, it said. Full story
China Enterprises Index loses
1.97%
HONG KONG, Nov. 15 (Xinhua) -- The Hang Seng China
Enterprises Index went down 351.67 points, or 1.97 percent, to close Thursday's
trading at 17,485.46.
The H-shares index, initiated in August 1994 and
readjusted on Sept. 10, 2007, tracks the overall performance of 43 Chinese
mainland state-owned enterprises listed on the Hong Kong Stock Exchange.Full story
