RIDING the euphoria of last week's rescue package, Chinese investors continue to pump cash into the stock markets, with combined turnover yesterday hitting a record 14.14 billion yuan (about HK$12.5 billion).
Shanghai saw turnover reaching a whopping 10.46 billion yuan and Shenzhen recorded turnover of 3.68 billion yuan, both market records. Yesterday, the turnover on the Hong Kong stock market was $4.47 billion.
''The turnover looks as if it was enormous. China allows stocks to be bought and sold on the same day, so many investors make speculative gains fairly quickly,'' said a Shanghai broker.
But the broker conceded the turnover was enormous.
''The problem with Shanghai is not the absence of capital, but long-term policies.'' He said: ''Now that people are convinced that Beijing is taking action, and firm action, they are confident.'' The Shanghai A index yesterday closed at 572.78 points, up 43 points, or 8.11 per cent. Shenzhen rose 3.72 points, or 2.54 per cent, to 150.13.
''The scenario that securities firms are packed with investors has come back. And we saw increased buying orders from other provinces,'' he said.
