Stocks rally on long-term funds announcement
Shanghai stocks rallied on Monday after the China Securities Regulatory Commission said it will guide more long-term funds into the market and strengthen resilience of capital markets.
The Shanghai Composite Index edged up 0.86 percent to close at 2,852.13 points.
Shares of telecommunication companies, material enterprises and electronics manufacturers are among today's biggest gainers.
New East New Materials Co Ltd surged 9.98 percent to 15.76 yuan (US$2.27), Zhejiang Tony Electronic Co Ltd jumped 7.59 percent to 21.98 yuan and China Bester Group Telecom Co Ltd added 4.61 percent to 29.07 yuan.
At a press conference in Shanghai, the commission said it will optimize and continuously improve the interconnection of the capital market, ease restriction on equity ratio of foreign investment, introduce more long-term funds into the capital market, expand internationalization of futures, strengthen the resilience of capital markets and further strengthen cross-border supervision.
Market sentiment was also lifted as the 11th Lujiazui Forum 2019 will be held on June 13 to 14 in Shanghai. Economists and scholars from around the world will gather in the city to discuss hot topics that include capital market reform, financial opening-up, inclusive finance, fintech, financial governance and integration in the Yangtze River Delta.
The forum aims to offer inspiring ideas and suggestions for the sustainable growth of the world economy as well as financial stability and development. The theme of this year's forum is "accelerating the international financial center development and promoting high quality economic growth."