China’s Wide Week in Stock Market
The A-share market experienced a continuous decline at the beginning of 2024, dropping from around 3000 points to just over 2700 points, with market sentiment hitting rock bottom.
Following that, strong signals of boosting the market have been released. The China Securities Regulatory Commission pledged to build an investor-centred capital market. The People’s Bank of China has announced a 0.5 percent point reduction in the reserve requirement ratio, injecting 1 trillion yuan of long-term liquidity into the market. The State-owned Assets Supervision and Administration Commission of the State Council has underscored the importance for centrally-administered state-owned enterprises to strengthen market value management, emphasising measures such as increased holdings, stock repurchases and dividends.
