©Reuters. A man sits in front of a board showing market information at a securities brokerage house in Beijing, China, August 5, 2019. REUTERS/Thomas Peter
(Reuters) – Chinese shares rose on Wednesday, adding to the biggest daily gains recorded two years earlier, as authorities stepped up efforts to restore confidence and stabilize ailing markets.
The benchmark advanced about 0.7% on Wednesday, while the blue-chip CSI 300 index rose 0.5%, but is still down 5% and 3% year-to-date, respectively.
Below is a list of these policy moves and measures:
** February 6, 2024
Chinese President Xi Jinping was expected to discuss the domestic stock market with financial regulators, Bloomberg News reported, citing unnamed sources.
** February 6, 2024
China’s securities regulator said it will suspend brokers from lending shares for loans and limit the size of so-called stock re-lending activity, as part of efforts to curb short selling.
** February 6, 2024
Chinese state fund Central Huijin Investment said it will further increase investments in China stock exchange funds (ETFs) and is determined to safeguard the stable operation of China’s capital markets.
**February 5, 2024
China’s securities regulator said it will tighten scrutiny over margin financing and harmful short selling and try to ward off risks involving pledged stocks.
The regulator will guide brokers to give investors more time to respond to margin calls in order to ease the market’s downward pressure.
**February 5, 2024
Chinese intermediaries, including state giant China International Capital Corp (CICC), have limited the amount of cross-border swap transactions domestic investors can undertake, as authorities try to defend the weak stock market, sources told Reuters.
**February 5, 2024
China’s securities regulator said it will closely monitor and take vigorous measures to prevent risks from busy stocks as the stock market slumped to five-year lows.
** January 31, 2024
China’s so-called “national team” of state-backed investors appeared to prop up the nation’s stuttering stock markets.
**January 28, 2024
China’s securities regulator said it will completely suspend lending of restricted shares starting Jan. 29.
**January 24, 2024
China’s central bank has announced a deep cut to bank reserves, in a move that will inject about $140 billion of liquidity into the banking system and send a strong signal of support to a fragile economy and flagging stock markets.
**January 23, 2024
Policymakers were trying to mobilize around 2 trillion yuan ($278.44 billion), mostly from offshore accounts of state-owned enterprises, as part of a stabilization fund to buy onshore shares through the Hong Kong stock exchange link, it reported Bloomberg News, citing anonymous sources.
**January 22, 2024
The Chinese government said it will take more forceful and effective measures to stabilize market confidence, state TV reported, citing a meeting chaired by Premier Li Qiang.
The government also said it will step up medium- and long-term injections of funds into the capital market.
** January 5, 2024
Beijing has informally asked some money managers in China to prioritize the launch of equity funds over other products, sources told Reuters, as authorities rushed to revive the lagging stock market.
** December 1, 2023
State-owned China Reform Holdings Corp said it has been buying technology-focused index funds and will continue to increase holdings.
**November 27, 2023
Sources told Reuters that the Beijing Stock Exchange has effectively implemented a new policy that bars major shareholders of listed companies from selling shares.
**November 11, 2023
The China Securities Regulatory Commission (CSRC) said banks, social security funds and other long-term investors are encouraged to invest in technology innovation bonds issued by state-owned enterprises controlled by the central government.
** October 30, 2023
A growing number of Chinese listed companies unveiled share buyback and buyback plans in October, while top mutual fund house E Fund Management Co said it would invest in its own product.
**October 23, 2023
Chinese state fund Central Huijin Investment said it has purchased exchange-traded funds (ETFs) and will continue to increase ETF holdings in the future.
** October 14, 2023
China’s securities regulator said it will restrict securities lending activities and strengthen oversight of improper regulatory arbitrage.
**September 21, 2023
Sources told Reuters that regulators have begun probing some hedge funds and brokerages over quantitative trading strategies amid a growing outcry against an industry capable of profiting from falling stock prices and volatility.
** September 1, 2023
China’s securities regulators have tightened oversight over program trading, seeking to better regulate the use of computer-generated algorithms in stock trading.
**August 28, 2023
China has halved its stamp duty on share trading, in a bid to revive the ailing market as recovery falters in the world’s second-largest economy.
**August 27, 2023
China’s securities regulator said it would slow the pace of IPOs and further regulate stock drawdowns. Chinese stock exchanges have also reduced margin financing requirements.
**August 24, 2023
China’s securities regulator said it is encouraging medium- and long-term investors, such as state pension funds and asset management funds, to increase their equity investments.
**August 18, 2023
China’s securities regulator has unveiled a package of measures including a proposal to reduce trading costs, support share buybacks and encourage long-term investment.
**July 10, 2023
More than a dozen major mutual fund firms in China have cut fees on about 1,500 fund products as regulators began reforming fee practices in the $3.7 trillion industry in a bid to reduce costs for investors.
($1 = 7.1830)