China Stocks Seen in Tight Range After 6th Straight Loss
The Chinese market may trade in a narrow range after shares fell for the sixth day in a row — the longest downturn seen this year.
The Shanghai Composite Index edged lower by 0.23 percent to 2216.93, trading volume thinned even further on a combination of policy vacuum and growth concerns.
The Ministry of Industry and Information Technology published guidelines to encourage private capital into the telecommunications industry. Currently China's telecom industry is dominated by three major central government backed carriers.
Expectations of another cut in reserve requirements are rising due to the central bank's 95 billion yuan ($15 billion) reverse repurchase agreements on Tuesday to inject liquidity into the banking system. (Related: See complete China and Asia news and analysis.)
Stocks to Watch:
Tsingtao Brewery, New Huadu - The brewer's shares will continue to be suspended on Thursday pending price sensitive information. Yicai website report that the brewer's chairman Jin Zhiguo will step down and he will be replaced by current general manager Sun Mingbo.
Industry insiders are questioning whether there has been insider trading— because Tsingtao's strategic investor New Huadu sold down its H-share stake in the brewer just days before. New Huadu's chairman, Chen Fashu, has close ties with Tsingtao Brewery's Jin Zhiguo. Tsingtao Brewery announced Wednesday evening the appointment of Duan Jiajun as the new chairman of its supervisory committee.
Coming Up This Week:
WEDNESDAY: South Korean current account, Japanese retail sales
THURSDAY: South Korean industrial production, retail sales, service sector output, Japanese
manufacturing PMI, Singaporean bank lending
FRIDAY: Japanese housing starts
SATURDAY: Chinese manufacturing PMI, South Korean trade balance
—By Cheng Lei, CNBC Asia Pacific