$Lion-OCBC Sec HSTECH S$ (HST.SG)$ Still above MA20. Bullish...
Still above MA20. Bullish sign.
China replaced the head of its securities regulator, a surprise move that may foreshadow more forceful measures by Xi Jinping's government to end the rout in the country's US$8 trillion ($10.75 trillion) stock market.
Wu Qing, a banking and regulation veteran who earned the reputation as "the broker butcher" when he led a crackdown on traders in the mid-2000s, is replacing Yi Huiman as chairman and party chief of the China Securities Regulatory Commission, according to the official Xinhua News Agency.
About US$5 trillion of market value had been wiped out from onshore equities from their peak in 2021, adding the urgency for policymakers to do more as the country enters the week-long Lunar New Year holiday.
"More than anything I think it shows the authorities' resolve to end this rout and to turn things around," said Huang Huiming, a fund manager at Nanjing Jing Heng Investment Management Co. "Announcing the personnel change right before the Spring Festival, with just one day left to trade, shows that the bid to boost confidence is real, it’s saying to investors that the people at the top care about investment losses."
China's previous moves to name new markets chiefs have proved a success in boosting shares. The benchmark CSI 300 Index rose over 40% in almost a two-year span after Liu Shiyu was assigned to replace Xiao Gang in Feb 2016. The gauge rose more than 80% over two years after Liu was replaced by Yi in Jan 2019.
"It may raise market hopes for more forceful stock market rescue plans after the personnel change," said Xiaojia Zhi, head of research at Credit Agricole CIB. "Looking at the past experiences, Wu is highly experienced with securities regulations with his work experience in the CSRC as well as in Shanghai Stock Exchange."
Disclaimer: Community is offered by Moomoo Technologies Inc. and is for educational purposes only.
Read more
Comment
Sign in to post a comment
Moo Contributor
Follow me to get useful analysis, learn TA and make profitable trades.
Maximise profit 利润最大化
6603Followers
57Following
23KVisitors
Follow
102765799 : meaning can average now?
bullrider_21OP 102765799: Yes, like I said yesterday.
102765799 bullrider_21OP: seems down again
bullrider_21OP 102765799: Maybe support is around 0.525. Good price to buy.
102765799 bullrider_21OP: thanks sir
bullrider_21OP 102765799: eg.
102765799 bullrider_21OP: now fallen below support... Will fall more?
bullrider_21OP 102765799: Possible may fall back to 0.498-0.50.