Category Archives: Developing Markets & Asia

Shanghai Exchange eyes Pakistan bourse

©AFP The Shanghai Stock Exchange is in pole position to buy a stake in Pakistan’s bourse, in a move that would mark the Chinese exchange’s first overseas investment and bolster financial ties with one of China’s closest partners. China’s strategic links with Pakistan have intensified under President Xi Jinping, whose One Belt, One Road policy seeks to project Chinese influence…

Technical glitch halts Australia exchange

©Bloomberg The Australian Securities Exchange was forced to halt trading across all securities on Monday after succumbing to a series of technical issues that had interrupted the session. The exchange operator’s first major outage in almost five years comes only weeks into the tenure of Dominic Stevens, the ASX’s new chief executive, who has been given the task of leading…

China ‘national team’ in quiet retreat

China’s “national team” reduced its stock holdings dramatically in the first half of 2016 without derailing a market rally, defying predictions that withdrawal of government support would spark a resumption of last summer’s crash. In early July 2015, with the Shanghai and Shenzhen equity markets in freefall following a year-long run-up, Chinese regulators deployed a coalition of state-owned financial institutions…

Shenzhen-HK link opens China door further

©EPA Hong Kong’s Exchange Square was rainswept, dark and deserted on Tuesday night. Inside the stock exchange, however, more than 100 reporters and photographers turned up to hear chief executive Charles Li talk through the go-ahead of a trading link with Shenzhen. The Shenzhen Connect was duly splashed across local front pages on Wednesday. Stock trading matters in a city…

Beijing approves Shenzhen-HK market tie-up

©EPA Beijing has approved a long-awaited stock trading link between Shenzhen and Hong Kong in the latest step towards the liberalisation of mainland markets and what will be a key test of global appetite for Chinese shares. The link is likely to open by the end of the year, roughly two years after the milestone launch of a tie-up between…

SGX makes offer for Baltic Exchange

©Dave Parry SGX’s pursuit of the Baltic Exchange has moved a significant step closer after the Singapore exchange made an offer for the venerable UK bourse. The Baltic, which traces its origins to the coffee houses of London in the mid-1700s, said on Thursday it would allow SGX to solicit shareholders to back a cash bid at £160.41 per share….

Renminbi slips in global payment rankings

©EPA The renminbi slipped in the global league tables for cross-border payments in the first half of 2016, as concern over depreciation dented investors’ willingness to hold the Chinese currency.  The Canadian dollar surpassed the renminbi to take fifth place among all currencies for use in international payments with a 1.96 per cent share compared to 1.72 per cent for the renminbi. The…

SGX forced to overhaul governance

©Bloomberg Singapore’s stock exchange operator plans to strengthen its corporate governance as part of an effort to restore confidence following a malfunction last week that halted trading on its securities market.  Southeast Asia’s biggest bourse announced on Monday plans to clearly separate its market supervisory function from commercial activities. The exchange’s regulatory functions will be placed in a separate subsidiary…

Outage halts trading at Singapore Exchange

©Reuters Singapore stock exchange Singapore Exchange halted trading on its securities market on Thursday after the latest in a series of malfunctions that have dented confidence in the bourse. SGX stopped trading just before noon after the discovery of a fault in which duplicate trade confirmation messages were generated.  It then missed two scheduled reopenings, failing to resume securities trading…

Opening China’s markets a matter of time

©Bloomberg Investors monitor and trade stocks at a securities exchange house in Shanghai, China Index provider MSCI’s decision this month not to include mainland Chinese A-shares in its global indices was widely unexpected by analysts. Yet investors largely consider greater access to China merely a matter of time given the country’s growing economic clout and the size of its market….