Shanghai stocks down 0.98% by break

The Shanghai Composite gained 3.4 per cent, ending at 3789.16, after flitting between gains and losses earlier.

Advertisement

Import prices rose 1.4%, reversing from a 0.2% decline in the first quarter.

Shanghai added 1.32 percent after slumping more than 10 percent in the past three sessions, while Hong Kong rose 0.82 percent, Sydney gained 1.32 percent, Seoul was 0.49 percent higher and Singapore advanced 0.32 percent. Its easy-money policy, mirrored by central banks around the world, has helped fuel stock gains since the global financial crisis, and a delay in raising rates could give stocks more steam.

The securities watchdog has investigated a total of 27 listed firms over share sales in violation of rules in July, according to a report by state-run People’s Daily.

The market was awash with rumors that the funds were tailor-made for China Securities Finance Corp, which may inject 120 billion yuan into the funds to support the wobbly market. Investors remain focused on earnings. Shanghai has swung wildly intraday.

In the wake of the volatility, the number of new stock investors in China has dropped to a record low.

An investor smiles as she walks past an electronic board showing stock information at a brokerage house in Fuyang, Anhui province, China, July 17, 2015.

The latest round of heavy selling appears to have further flushed out borrowing by investors to make bigger bets on the market.

China stocks fell on Friday and looked set to suffer their biggest monthly loss in almost six years even as Beijing rolled out a series of support measures and promised to step up efforts to bolster the flagging economy.

“Such a practice is closely watched by regulators in the US as well”.

CALM OVERSEAS: European and Asian markets had another day of decreased volatility.

“People are very fearful of investing in the Chinese market”, Jacobsen said by phone on Thursday. The benchmark Kospi average dropped 18.59 points or 0.91 percent to 2,019.03.

Beijing’s intervention in the share market has also raised questions over its commitment to free-market reforms, seen as essential for China to pull off its planned transition from an export-led economy to one based on consumption and services. A stronger dollar is bad news for commodities, many of which are priced in the currency, because it becomes more expensive for foreign buyers. Brent crude, a benchmark for worldwide oils used by many U.S. refineries, fell 7 cents to close at $53.31 a barrel in London.

Advertisement

Gold has sunk to five-year lows in recent weeks amid expectations for a rate increase, which could incite investors to move to higher-yielding assets.

China drop, other global markets mostly up after US data