This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.bbc.co.uk/news/business-33473386
The article has changed 4 times. There is an RSS feed of changes available.
Version 1 | Version 2 |
---|---|
Chinese shares rally as momentum spreads | Chinese shares rally as momentum spreads |
(about 5 hours later) | |
Chinese shares continued to rally on Friday, gaining momentum from Thursday's dramatic rebound as drastic government measures to support the volatile market started to have an impact. | |
The Shanghai Composite jumped 5.1% to 3,899.02 after ending the previous session up nearly 6%. | |
The government intervened after stocks had fallen by third since mid-June. | |
Hong Kong's Hang Seng was up 2.3% to 24,958.88. | |
Measures to stem the sell-off have included banning major investors from selling shares, and ordering others to buy, although there were a number of companies' shares that could not be traded at all as they were suspended during the rout. | |
Other moves include a ban on short-selling, a suspension of initial public offerings along with injecting money into the market through margin lending. | |
'Backfire' | |
These strong moves by the government to restore order in the market could backfire, according to Evan Lucas, market strategist at trading firm IG: "[It's] firm response to the past 18 days of turmoil does "create perceptions that further liberalisations and free market principles will be abandoned as Beijing grapples with additional regulations". | |
"This will create longer-term issues," he added, as analysts started to question what will happen to the market once those measures are removed. | |
Greece's proposal | Greece's proposal |
The rest of Asia was also higher after Greece proposed new reforms in its bid to strike a deal with creditors in the debt crisis. | The rest of Asia was also higher after Greece proposed new reforms in its bid to strike a deal with creditors in the debt crisis. |
Greece's new measures to boost revenue included getting rid of tax breaks for islands - paving the way for a cash-for-reform deal with creditors. | Greece's new measures to boost revenue included getting rid of tax breaks for islands - paving the way for a cash-for-reform deal with creditors. |
Japan's Nikkei 225 index finished down 0.4% to 19,779.83 - erasing earlier gains and ending with its biggest weekly fall since October - down 3.7%. | |
The benchmark index was dragged down by Uniqlo owner Fast Retailing, whose stocks fell 6% on its weak domestic sales outlook for the current quarter. | |
Rises | |
Australian shares, however, headed higher with mining stocks up on a jump in iron ore prices overnight. | |
The benchmark S&P/ASX 200 index ended up 0.4% to 5,492.00. | |
The price of Australia's biggest export, iron ore, rose about 10% - but it still remains at half the level of a year ago. | |
Shares of heavyweight miners BHP Billiton and Rio Tinto were up 3.2% and 2.4%, respectively. | |
In South Korea, shares headed higher despite data showing that import prices fell for the 34th consecutive month in June, but the pace of declines eased. | In South Korea, shares headed higher despite data showing that import prices fell for the 34th consecutive month in June, but the pace of declines eased. |
The Bank of Korea said import prices in won terms fell 14% in June from a year ago - marking the smallest drop since December. | The Bank of Korea said import prices in won terms fell 14% in June from a year ago - marking the smallest drop since December. |
The benchmark Kospi index closed up 0.2% to 2,031.17 - posting its worst week in over two years by losing 3.5%. |