China’s blue-chip index and Hong Kong’s Hang Seng Index both hit nine-month lows as Beijing struggled to dispel economic concerns.
China’s blue-chip index and Hong Kong’s Hang Seng Index both dropped to the lowest level since late November last year, underwhelmed by a package of measures China’s securities regulators announced on Friday aimed at boosting investor confidence. Earlier on Monday, China lowered its one-year benchmark lending rate, but surprised markets by keeping unchanged the five-year rate – on which mortgage rates are based.
More than 30 companies including chipmaker Loongson Technology Corp and Xian Manareco New Materials Co said in identical statements that their controlling shareholders had proposed buying back shares because of “confidence in the companies’ future development and value”.