China’s brokerages surged on emergency messages to stabilize the stock market after the biggest three-week rout in the Shanghai Composite Index since 1992.
Citic Securities Co. was among brokerages to gain as much as 10 percent in Shanghai before trading 6.3 percent higher as of 9:40 a.m. Haitong Securities Co. rose 6.9 percent. The Shanghai Composite added 4.2 percent.
To bolster equities, a group of 21 brokerages has pledged 120 billion yuan ($19 billion) for a stock-purchasing fund, intial public offerings are on hold, and the central bank is offering liquidity to an agency that gives finance to the securities industry for margin lending and short-selling businesses.
— With assistance by Jun Luo