1. China announced Thursday night that it will from Friday suspend the stock market "circuit breaker" mechanism that has been implemented since the beginning of this year. "Currently, the negative effects of the mechanism are greater than the positive effects. Thus, the China Securities Regulatory Commission (CSRC) had decided to suspend the circuit breaker mechanism to maintain market stability," CSRC spokesperson Deng Ke said in a statement. Under the mechanism that became effective on Jan. 1 to tame the wildly fluctuating Chinese stock market, trading will be halted for 15 minutes if the Hushen 300 Index, which reflects the performance of bluechips listed in Shanghai and Shenzhen, moves up or down by 5 percent before 2:45 p.m. If the movement reaches 7 percent when trading is resumed, the market closes for the day. The circuit breaker was triggered on Monday and Thursday, as plunges in the Hushen 300 Index reached 7 percent in both trading days.
2. China's State Council, the cabinet, Thursday released guidelines on supporting development in border areas, which stressed new energy industries development. Besides new energy, the guidelines also include 31 measures to adjust trade structure, strengthen infrastructure construction, increase fiscal support, and encourage financial innovation and opening up. Meanwhile, a fund to provide financial support for industrial development in border areas will be set up, according to the document. China's border areas involve five key development and open-up pilot zones, 72 frontier ports, 28 border cities, 17 border economic cooperation zones and one cross-border economic cooperation zone, as well as places with rich solar or wind resources such as Tibet, Xinjiang, Gansu and Inner Mongolia.
Latest comments