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China stocks rally on speculation PBOC will expand stock buyback relending facility

South China Morning Post ·
China stocks rally on speculation PBOC will expand stock buyback relending facility
  • The CSI 300 rose 1.3 per cent to 4,035.72 at the trading break, rebounding from a brutal October sell-off that sent the benchmark into a bear market.
  • The Star Market 50 Index, dominated by the nation's biggest chipmakers, rallied 3 per cent, and Shenzhen's ChiNext gauge of tech start-ups surged more than 3 per cent.
  • Speculation is mounting that China will bolster the 300 billion yuan (US$45.1 billion) relending facility introduced in 2024 as part of a package to stabilise the stock market.
  • The People's Bank of China was set to convene regulators overseeing the stock and financial sectors on Monday morning to improve the programme financing stock buy-backs by listed companies and key shareholders, according to local media reports.