Tuesday, February 7, 2023
Homechina economyChina's stock trading volume surges above 1 trillion yuan for weeks as...

China’s stock trading volume surges above 1 trillion yuan for weeks as other investment options dry up

  • Chinese investors are turning to mainland Chinese stocks, called A shares, as other investment options like real estate come under tighter government scrutiny.
  • Stock trading volume has held above 1 trillion yuan ($154.56 billion) for the last six weeks and hit a high for the year on Wednesday, according to Wind Information.
  • "Speculating on real estate is definitely out of play," Schelling Xie, senior analyst at Stansberry China, said in Mandarin, according to a CNBC translation. Since Chinese authorities tightened a ban on cryptocurrency transactions this year, "where does this money go?"

A Chinese bank clerk counts yuan banknotes at a bank in Huaibei, east Chinas Anhui Province, July 6, 2012.Jie Zhao | Corbis News | Getty Images

BEIJING — Chinese investors are turning to the local stock market as once-lucrative options like real estate and cryptocurrencies have fallen under tighter government scrutiny.

Since late July, daily trading volume in mainland Chinese A shares has held above 1 trillion yuan ($154.56 billion) and climbed to a high for the year of 1.71 trillion yuan on Wednesday, according to Wind Information.

That's about twice the daily average trading volume of the last two years of 840 billion yuan, the data showed.

And on Wednesday, trading volume in the Shanghai composite alone was 842.2 billion yuan, the highest since July 2015, the summer China's stock market crashed amid high speculation.

RELATED ARTICLES

Most Popular