Asia Briefing: Many views of China’s stock market

Investors monitor stock prices at a securities exchange firm  in Shanghai, China

Investors monitor stock prices at a securities exchange firm in Shanghai, China


While the outlook for the broader economy is a little mamahuhu (Chinese for “so so”), there are reportedly great things expected of the Chinese stock market.

A majority of listed firms that have released preliminary reports expect to have performed better in 2013, according to the Shanghai Securities News.

China’s key stock index, the Shanghai Composite Index, lost more than 6 per cent last year.

Among the 1,734 companies to release forecasts for last year, 1,000 expect better results, while 821 anticipate rising profits and 179 expect reversals of previous losses.

Altogether 398 firms predicted increases of more than 100 per cent in net profits, led by stocks known as special treatment (ST) shares, which include Shenzhen International Enterprise Co and Yihua Real Estate.

Special treatment firms are those that have recorded two consecutive years of net losses, which makes de-listing a high possibility. Thanks to restructuring and asset transfers, most ST firms reversed losses last year, the report said.

Quite when remains an open question however.

China shares fell during their first trading session of the new lunar new year, dragged down by Chinese financial and consumer stocks on further signs that the world’s second-largest economy was losing momentum.

Sign In

Forgot Password?

Sign Up

The name that will appear beside your comments.

Have an account? Sign In

Forgot Password?

Please enter your email address so we can send you a link to reset your password.

Sign In or Sign Up

Thank you

You should receive instructions for resetting your password. When you have reset your password, you can Sign In.

Hello, .

Please choose a screen name. This name will appear beside any comments you post. Your screen name should follow the standards set out in our community standards.

Thank you for registering. Please check your email to verify your account.

Your Comments
We reserve the right to remove any content at any time from this Community, including without limitation if it violates the Community Standards. We ask that you report content that you in good faith believe violates the above rules by clicking the Flag link next to the offending comment or by filling out this form. New comments are only accepted for 3 days from the date of publication.