Stocks News
- Shares end down on tightening concerns
Date: 27-Sep-2007 Sources: (Shenzhen Daily)
CONCERNS that the government might declare more tightening measures during next week's long holiday dragged down the main stock index yesterday, with airlines leading the fall as the prospect of an industry consolidation waned.
The benchmark Shanghai Composite Index, which tracks both A and B shares, ended down 1.6 percent at 5,338.52. The Shenzhen Composite Index fell 1.5 percent to 1,469.57.
Analysts said they expect the Shanghai index to move between 5,300 and 5,500 for the rest of the week. The two stock exchanges will close from Oct. 1 for the National Day holiday and will resume trading Oct. 8.
'Investors have a tendency to sell before the holidays because of fear that news released over the holiday will drive down prices when the markets open again,'said Guo Yong, an analyst at GF Securities.
Chen Huiqin, an analyst at Huatai Securities, said the market also needs to correct after recent sharp gains, but that won't be strong enough to reverse a long-term bull run.
The Shanghai index has risen 20 percent since the start of August and has more than doubled since the start of this year.
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