REPORT # 7
Shanghai B-shares closed 3.6 % higher with gains across the board bolstered by a similar rise in domestic A-shares.
The Shanghai Stock Exchange’s B-share index added 5.27 points to152.98 while the A-shares index gained 24.38 points or 1.3% to 1905.62 on turnover of $525 million.
Shares extended their gains on the afternoon, with telecommunications related stocks leading market gains, dealers said.
They added thin turnover pointed to underlying cautious sentiment over the market’s medium term trend due to a lack of market moving policies devoted to B shares market and global political and economic instabilities.
The passage has been cited from the report of January 7, 200x, issued by Shanghai Stock Exchange.
Meanings of difficult words
Bolstered supported, boosted
A-shares category A shares of domestic companies
B-shares category B shares
Thin turnover low volume of business
Cautious sentiment careful opinion and attitude
Lending responsible for, causing
Across the board involving all
Tendency of the market
The market registered an upward movement of prices involving both A and B-shares with, however, low volume of business.
The thin volume of business is accredited to two conditions: 1. Lack of government’s intention to improve market for B-shares, and 2. International political and economic uncertainties during the coming year or so. B-shares prices rose jacked up by A-shares prices increase, and overall market was .strengthened by high demand for telecommunications shares.
Index points and turnover
B-shares index points (opening) 147.71
Difference + 5.27
Hence B-shares index went up by 3.4 percent from the last day
A-shares index points (opening) 1881.34
Difference + 24.38
A index share went up 1.3 percent over the last day.
The report belongs to the Shanghai Stock Exchange,Chinahaving two separate indices, known as A-shares index representing domestic companies and B-share index. The B-share pushed up 3.6 percent at the close of the time with A-shares that rose to 1.3 percent. The B-shares index showed an increase of 5.27 points and closed at 152.98. On the other hand, A-shares index went up 24.38 points closing at 1905.62 with a total volume of $525 million.
All the A and B shares continued their upward trend into the afternoon session supported by shares of mobile phone companies.
Despite the indices upward tendency, the volume of business was thin. The factor responsible for this state of affair was the underlying cautious attitude triggered by the uncertain medium-term trend owing to absence of market arousing policies for B-shares. World political and economic instability was the other reason for the thin volume of business.
Shanghai Stock Exchange’s A-shares index rose to 1.3 percent at 1905.62 points and B-shares index 3.4 percent at 152.98. B-shares picked up on the support of A-shares. The overall market was cheered by high demand for telecommunications mobile phone etc. shares. On the other hand, the volume of business of B-shares was thin and overall business turnover stopped short at $525 million.
The market is likely to continue its status quo until things move otherwise.