A MOVE by the US Securities and Exchange Commission to allow US mutual funds to invest in China B shares had little effect on the Shanghai and Shenzhen markets yesterday.
In a letter dated Monday, the SEC indicated it would take no action against funds investing in B shares reserved for foreign investors, which started trading last year.
Banks and some Hongkong-based securities companies have long lobbied the SEC for an exemption to the ban which was imposed under a US law dating from 1940.
But despite the SEC move, the Credit Lyonnais Securities Shenzhen B Index was up only 8.28 points, or 0.72 per cent, to close at 1,159.74.
The CLSA Shenzhen A Index rose 12.05 points or 0.4 per cent to end at 3,029.21.
A few shares showed decent advances, with New World and Southern Glass among the biggest gainers.