Shenzhen Tightens Rules on GEM First Day Trading |
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The Shenzhen Stock Exchange has introduced a new rule aimed at controlling speculative trading of debuting stocks on the soon-to-be launched Growth Enterprise Market, the South China Morning Post reported. According to the new rule, a stock will be suspended from trading until 2:57pm, three minutes before closing, if its shares rise or fall 80% from the opening price on first day of trading. Trading will be suspended for 30 minutes if a newly listed stock gains or loses more than 20% from the opening price and the exchange will halt trading for a further 30 minutes if the shares rise or fall 50%. The securities regulator is due to officially launch the Nasdaq-style exchange in October. The content of this article is general in scope and is not intended to be comprehensive. It is not a substitute for investment advice. Published on our website on Sept.28, 2009
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