Feb 22, 2016
66 Views
0 0

Shanghai shares gain as China reshuffles top stock regulator post

Written by

Investing.com –

Investing.com – Shares in Shanghai gained on Monday after China
reshuffled the leadership of the stock market regulator.

The Shanghai Composite gained 1.00% at the open while the Nikkei
225 rose 1.19%.

On Saturday, China dismissed Chairman Xiao Gang from his post at
the China Securities Regulatory Commission and replaced by Liu
Shiyu, chairman of the Agricultural Bank of China, likely in
response to the failure of the stock market's circuit breaker
mechanism.

The move came as specualtion grows the People's Bank of China
will seek a cut in the reserve requirement ratio (RRR) in the
medium-term as daily short-term open market operations are seen as
inadequate to stabilize market expectations.

Also on the weekend, China announced changes to its consumer
price basket, lowering the weighting for food, tobacco and alcohol
by 3.4 percentage points while increasing that of other goods to
reflect new consumption patterns.

In the week ahead, investors will be looking to Friday's revised
data on U.S. fourth quarter gross domestic product for a fresh
reading on the strength of the economy.

Reports on U.S. durable goods orders and consumer confidence
will also be in focus.

On Monday, the euro zone is to release survey data on
manufacturing and service sector activity. Germany and France are
also to release individual reports.

Last week, U.S. stocks were mixed after the close on Friday, as
gains in the Consumer Services, Technology and Financials sectors
led shares higher while losses in the Basic Materials, Telecoms and
Utilities sectors led shares lower.

At the close in NYSE, the Dow Jones Industrial Average declined
0.13%, while the S&P 500 index declined 0.01%, and the NASDAQ
Composite index climbed 0.38%.



Investing.com

offers an extensive set of professional tools for the financial
markets.

Read more News on Investing.com and download the new

Investing.com apps

for Android and iOS!
http://glocdn.investing.com/news/LYNXNPEB640AZ_M.jpg

Article Categories:
Currencies

Leave a Comment