ICBC, CCB, SAIC Motor, CAMC Engineering: China Equity Preview
The following companies may have unusual price changes in China trading. Stock symbols are in parentheses, and share prices are as of the last close.
Banks: Central bank adviser Li Daokui said China may order higher reserve requirements for banks to counter capital inflows and a possible jump in lending at the start of 2011. Li commented after the Communist Party Politburo said the nation will move next year to a “prudent’ monetary policy from the current “moderately loose” stance.
Non-ferrous metal producers: China should limit combined annual production capacity of copper, lead, aluminum and seven other nonferrous metals to 41 million metric tons by 2015 to control overproduction, the Shanghai Securities News cited Shang Fushan, vice chairman of the China Nonferrous Metals Industry Association, as saying.
Carmakers: China will end a preferential purchase tax for vehicles with engines no larger than 1.6 liters next year, the China Securities Journal reported, citing an unidentified person at the National Development and Reform Commission.
China Petroleum and Chemical Corp. (600028 CH): BNP Paribas cut its rating of Sinopec’s Hong Kong-listed shares to “reduce” from “hold,” citing the stock’s valuation and the outlook for crude oil prices. The Shanghai-listed stock advanced 0.4 percent to 8.18 yuan.
Chongqing Changan Automobile Co. (000625 CH): The automaker’s vehicle sales in November rose to 185,204 units from 128,735 units in the same period last year, it said to the Shenzhen Stock Exchange. Shares gained 0.7 percent to 11.03 yuan.
China CAMC Engineering Co. (002051 CH) said it won 7.15 billion yuan of contracts from Venezuelan state firms on Dec. 3 to build infrastructure, plant crops, and supply agricultural machines. The contracts will have an effect on profit over the next three years, China CAMC said to Shenzhen’s stock exchange. Shares slid 0.5 percent to 64.68 yuan before trading was suspended on Dec. 2.
China National Chemical Engineering Co. (601117 CH): A unit of the company signed a contract worth 1.6 billion yuan to build a petrochemicals project in Xinjiang province, China National Chemical said in a statement to the Shanghai Stock Exchange. The stock fell 1.3 percent to 5.52 yuan.
Huayi Electric Co. (600290 CH): The maker of wind turbines and power transmission gear obtained approval from the China Securities Regulatory Commission for a private placement, the company said in a filing to the Shanghai Stock Exchange. The stock rose 1.6 percent to 15.59 yuan.
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