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China Press/Corporate Summary Ahead of Open   
Thu, 28 May 09:29 PM EST/02:29 AM GMT
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Shanghai Composite slumped 6.5% yesterday marking the biggest decline in four months on record turnover of CNY1.2T. Shenzhen Composite index plunged 6.2%, ChiNext index down 5.4%.

Xinhua agency commented the market sentiment was hurt by multiple bad news. A new batch of IPO totaling 23 will begin next week, led by China National Nuclear Power Co, could freeze up to CNY8T in funds. Some brokerages have announced stricter margin lending rules recently and regulators required banks to submit data regarding money flows into the stock market. Also, PBoC said to have drained over CNY100B in repos to targeted financial institutions, raising concerns for the central bank was changing its monetary policy stance. Government investment firm, Central Huijin cashed out CNY3.5B from its holdings in two large state-owned banks in what some analysts called a turning point for state ownership reforms for banking sector.

Following the market dive, People's Daily warned the overdevelopment of financial sector may lead to economic crisis. However, Xinhua saw the modest correction in stock market is good for its long-term health.

According to loca media, Macau Q1 GDP plunged record 24.5% y/y, further shrinking from Q4 data of -17.2%. Local statistics agency said the main reason is sharp decline of services exports, among which, gaming revenue tumbled 39.7% y/y.

Premarket movers:
- Industrial and Commercial Bank of China [1398.HK] -1.3%, CCB [939.HK] -1.3% (Huijin to cut holdings)
- Haitong International [6837.HK] -1.2%, China Galaxy Securities [6881.HK] -2.7%, CITIC Securities [ ...
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