Pubblicato in: Cina, Finanza e Sistema Bancario

Star Market. Oggi primo giorno spumeggiante del Nasdaq cinese.

Giuseppe Sandro Mela.

2019-07-22.

Champagne__

Questa mattina ha aperto lo Star Market, l’equivalente cinese del Nasdaq. che opera nell’ambito dello Shanghai Stock Exchange.

Al momento, sono venticinque i titoli in quotazione, che hanno dimostrato sostanziali aumenti di quotazione.

«Trading hit a fever pitch, with shares rocketing as much as 520%, as China’s new Nasdaq-style board for homegrown tech firms debuted on Monday, with valuations exceeding even the expectations of veteran investors braced for a wild ride.»

«Trading of Anji had to be suspended for 10 minutes at 10.20am after the stock soared by 404 per cent to 197.6 yuan from its offering price of 39.19 yuan.»

«The firms, spanning industries from microchips and biotechnology to artificial intelligence, were greeted by an immediate buying spree as trading opened at 9.30am. They all went on to record gains of at least 100 per cent by the end of the morning session, but settled back slightly in the afternoon to close at least 84 per cent higher»

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Se l’entusiasmo sia più che comprensibile, incrementi di questo livello sembrerebbero essere del tutto contrari al comune buon senso.

Poi, come al solito nei periodi estivi, i volumi trattati sono stati scarni.

Sarebbe quindi cosa savia prendere atto di questa nuova opportunità, ma anche lasciar decantare la situazione.

Infatti, questa nuova realtà ha chiari significati politici: la China intende andare a competere per il predominio mondiale nel settore tecnologico avanzato.

«About four million qualified retail investors with no less than 500,000 yuan in investment capital have registered to trade shares on the new market, according to China Business News. More than 100 million individual stock traders buy and sell on the regular mainland China bourses.

Star Market was ordered into existence by Chinese President Xi Jinping in November last year. It is aimed at helping Beijing sustain economic growth by funding technological innovation rather than through massive infrastructure spending. China’s regulators have spent the past eight months preparing the ground for Monday’s launch.

The launch of the new board is a fresh sign China has shifted its focus from quantity and pace to quality in driving economic growth, …. China is highlighting the role of the capital market in bolstering technology companies, and encouraging them to conduct technological innovation»

Verosimilmente, lo Star market sarà guardato con occhio di riguardo da parte dello stato cinese.


South China Morning Post. 2019-07-22. Star Market, a ‘breakthrough in 30-year history of China’s stock market’, gets off to shining start as all debutants see share prices soar

« – All 25 debutants on Shanghai’s new Star Market finish the first day’s trading with gains of at least 84 per cent

– Semiconductor maker Anji Microelectronics is the star performer, its share price rising fivefold on day one

The Shanghai Stock Exchange’s new Star Market got off to a suitably stellar start on Monday with all 25 debutants soaring as investors clamoured for a slice of the action.

The firms, spanning industries from microchips and biotechnology to artificial intelligence, were greeted by an immediate buying spree as trading opened at 9.30am. They all went on to record gains of at least 100 per cent by the end of the morning session, but settled back slightly in the afternoon to close at least 84 per cent higher.

Anji Microelectronics (Shanghai), a semiconductor manufacturer, got off to a momentous start, its shares opening 287 per cent higher than the initial public offering price.

Trading of Anji had to be suspended for 10 minutes at 10.20am after the stock soared by 404 per cent to 197.6 yuan from its offering price of 39.19 yuan.»

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Investing. 2019-07-22. Circuit breakers trip, shares soar as China’s Nasdaq-style bourse debuts

«Trading hit a fever pitch, with shares rocketing as much as 520%, as China’s new Nasdaq-style board for homegrown tech firms debuted on Monday, with valuations exceeding even the expectations of veteran investors braced for a wild ride.

All of the first batch of 25 companies – ranging from chip-makers to health care firms – more than doubled their already frothy initial public offering (IPO) prices on the STAR Market, operated by the Shanghai Stock Exchange.

“The price gains are crazier than we expected,” said Stephen Huang, vice president of Shanghai See Truth Investment Management. “These are good companies, but valuations are too high. Buying them now makes no sense.” …. »

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Business Times. 2019-07-22. Most companies surge on first day of trade on China’s Star Market

«China’s new Nasdaq-style board for homegrown technology firms started trading on Monday, with most of the stocks surging in their debut.

Most of the first batch of 25 companies – ranging from chip-makers to biotech firms – climbed quickly in early trade on the STAR Market, operated by the Shanghai Stock Exchange.

Zhangjiang Hangke Technology Inc was the first company to hit an upper-limit circuit breaker designed to temporarily halt trading in a bid to calm frenzied buying, climbing 30 per cent from the market open.

Suzhou Harmontronics Automation Technology, however, triggered its circuit breaker in the opposite direction, falling 30 per cent from the market open.»

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Reuters. 2019-07-22. Manic Monday for China’s Nasdaq-style bourse as shares rocket

SHANGHAI (Reuters) – Trading on China’s new Nasdaq-style board for homegrown tech firms hit a fever pitch on Monday, sending shares up as much as 400% for the day, and far exceeding the expectations of veteran investors braced for a wild ride.

Sixteen of the first batch of 25 companies – ranging from chip-makers to health care firms – more than doubled their already frothy initial public offering (IPO) prices on the STAR Market, operated by the Shanghai Stock Exchange.

The companies racked up average gains of 140% in a raucous first day of trade that tripped the exchange’s circuit breakers designed to calm frenzied activity. The day’s weakest performer leapt 84.22%.

“The price gains are crazier than we expected,” said Stephen Huang, vice president of Shanghai See Truth Investment Management. “These are good companies, but valuations are too high. Buying them now makes no sense.”

Modeled after Nasdaq, and complete with a U.S-style IPO system, STAR may be China’s boldest attempt at capital market reforms yet. It is also seen driven by Beijing’s ambition to become technologically self-reliant as a prolonged trade war with Washington catches Chinese tech firms in the cross-fire.

Trading in Anji Microelectronics Technology (Shanghai) Co Ltd (688019.SS), a semiconductor firm, was briefly halted twice as the company’s shares hit two circuit breakers – first after rising 30%, then after climbing 60% from the market open.

The mechanisms did little to keep Anji shares in check as they soared as much as 520% from their IPO price in the morning session. Anji shares ended the day up 400.2% from their IPO price, the day’s biggest gain, giving the company a valuation of nearly 242 times 2018 earnings.

Suzhou Harmontronics Automation Technology Co Ltd (688022.SS), in contrast, triggered its circuit breaker in the opposite direction, falling 30% from the market open in early trade before rebounding. But by the market close, the company’s shares were still 94.61% higher than their IPO price.

Wild share price swings, partly the result of loose trading rules, had been widely expected. IPOs had been oversubscribed by an average of about 1,700 times among retail investors.

The STAR Market sets no limits on share prices during the first five days of a company’s trading. That compares with a cap of 44% on debut on other boards in China.

In subsequent trading sessions, stocks on the new tech board will be allowed to rise or fall a maximum 20% in a day, double the 10% daily limit on other boards.

Regulators last week cautioned individual investors against “blindly” buying STAR Market stocks, but said big fluctuations were normal.

Looser trading rules were aimed at “giving market players adequate freedom in the game, accelerating the formation of equilibrium prices, and boosting price-setting efficiency,” the Shanghai Stock Exchange (SSE) said in a statement on Friday.

The SSE added that it was normal to see big swings in newly listed tech shares, as such companies typically have uncertain prospects, and are difficult to evaluate.

The exchange cited big fluctuations in IPOs shares on Nasdaq and the Hong Kong stock exchange, in particular singling out recently listed electric car firm Nio Inc (NIO) and Chinese start-up Luckin Coffee (LK.O).

SSE said that an index tracking the STAR Market would be launched on the 11th trading day following the debut of the 30th company on the board.

MAIN BOARD DRAG

Investor focus on the STAR Market in the short term could weigh on the main board in terms of liquidity and attention, said Zhu Junchun, chief analyst with Lianxun Securities.

That effect was clear on Monday, with the benchmark Shanghai Composite Index .SSEC falling 1.27%, and the blue-chip CSI300 index .CSI300 ending 0.69% lower.

Dual-listed China Railway Signal & Communications Corp Ltd (688009.SS)(3969.HK) clearly illustrated the gap in investor enthusiasm. Its STAR Market shares more than doubled from their IPO price, even as its Hong Kong shares dropped more than 11% following worse-than-expected preliminary results.

Huang at Shanghai See Truth suggested rational investors wait on the sidelines and observe the market for a month, before making purchasing decisions.

Some investors, nevertheless, hailed the debut of the board that Beijing hopes will propel investment in the sector and help the country innovate and compete globally.

Yang Tingwu, vice general manager of Tongheng Investment, a hedge fund house in Fujian province, said he viewed 80% of listed companies as “cannon fodder”, but the chance of the remaining 20% producing China’s next Tencent (0700.HK) or Huawei made the market turmoil worth it.

“The STAR Market opens a new chapter for China’s stock market. Toast to the Chinese dream in our capital markets!”, he said.

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