Reuters reporting – China’s securities regulator, the China Securities Regulatory Commission (CSRC), has pledged to prevent abnormal market fluctuations in response to recent sharp declines in Chinese stocks, which reached five-year lows.
However, the CSRC did not specify any particular measures. They also stated their intent to crack down on ill-intended short selling, attract more long-term capital investment, and listen attentively to investors’ concerns.
The recent market sell-off, marked by panic selling and forced liquidation of leveraged trades, led to widespread frustration among Chinese investors, some of whom voiced their anger on social media platforms. The CSRC’s previous efforts to support the stock market, such as restrictions on share sales, curbs on short selling, and slower pace of listings, have not been effective in preventing declines.
