Stock markets on the Chinese mainland sagged Thursday largely on concerns that local securities authorities would soon resume approval proceedings for initial public offerings (IPOs).
The benchmark Shanghai Composite Index surrendered 22.89 points, or 0.98 percent, to close at 2,324.29; while the Shenzhen Component Index declined 37.48 points, or 0.40 percent, to finish at 9,393.69.
Both indices opened lower Thursday and dipped in the afternoon session after Yao Gang, vice chairman of the China Securities Regulatory Commission (CSRC), told local media that the commission would consider restarting IPOs next month after it finishes checking financial statements from the companies currently in the pipeline for a public float.
Yao's remarks represent the securities regulator's first official comments on the timetable for IPO resumption since the CSRC halted new offerings in December and ordered listing applicants to reexamine their financial documentation. Most investors reacted unfavorably to these reports due to oversupply and liquidity concerns, said analysts.
Coal and liquor shares were among Thursday's biggest winners in what was otherwise a mostly down day. Yunnan Coal & Energy Co soared 5.19 percent to 11.14 yuan ($1.79). Kweichow Moutai Co added 3.75 percent to 183.86 yuan, its highest close in two weeks.
Meanwhile, environmental protection stocks continued to dive Thursday. Beijing Capital Co dropped 7.22 percent to 6.68 yuan.
Financial shares had a lukewarm session as well. China Everbright Bank Co lost 3.24 percent to 3.29 yuan. Citic Securities Co declined 2.85 percent to 13.98 yuan.
Shanghai Disney Resort unveils resort concept
Feedback
RSS
