Mainland stocks settle flat in run-up to New Year
Mainland stocks were little changed on Thursday, with optimism spurred by fading liquidity stress counterbalanced by investors staying wary of the prospect of regula- tory measures to curb aggressive investment in stocks by insurers.
The blue-chip CSI300 index dipped 0.1 percent, to 3,297.76, while the Shanghai Composite Index fell 0.2 percent to 3,096.10 points.
The market found some solace from progress made to avoid defaults resulting from a recent bond scandal. Sealand Securities said on Thursday it had signed agreements with 19 counterparties to resolve the “forged” bond dispute.
But investors remained cautious following news that the nation’s insurance regulator planned to establish a discriminatory supervision system that would more closely monitor some unconventional insurance products, in the lat- est move to rein in aggressive stock investment.
Sector performance was mixed on the mainland, with gains in infrastructure stocks offsetting losses in property stocks.
Hong Kong stocks edged up on Thursday, as strength in tech stocks outweighed the bearish hint from Wall Street, where stocks lost the most in two months overnight.
The Hang Seng Index rose 0.2 percent, to 21,790.91, while the China Enterprises Index gained 0.1 percent, to 9,312.76 points.
The market got some support from mainland investors, who spent 3.7 billion yuan ($532 million) buying Hong Kong shares via the ShanghaiHong Kong Stock Connect link.
Shares of Tencent Holding Ltd gained the most in seven weeks and were up around 2.2 percent, after Tencent said on Wednesday that the longawaited “Little Program” feature of its popular messaging application WeChat would go live on Jan 9.