China Securities Regulatory Commission Cracks Down on Market Rumors
The China Securities Regulatory Commission has responded to rumors circulating in foreign media regarding restrictions on major institutional investors from net selling stocks and prohibiting institutions from shorting A-shares through stock index futures. In a statement released on February 22, the regulatory authority emphasized that it will not interfere with normal market transactions and will crack down on illegal activities such as market manipulation and insider trading.
A spokesperson for the commission stated, “It is a rule for the stock market to rise and fall, and buying and selling is normal.” The regulatory authorities are committed to protecting investors’ rights to fair and free transactions in accordance with the law. Any behaviors that disrupt the market will be resolutely dealt with in accordance with the law and regulations.
Recent regulatory measures taken by the Shanghai and Shenzhen stock exchanges were described as necessary steps to address abnormal trading behaviors of individual institutions. The spokesperson clarified that these actions were aimed at fulfilling trading supervision responsibilities and not intended as restrictions on sales.
Looking ahead, the China Securities Regulatory Commission announced plans to guide the Shanghai and Shenzhen Stock Exchanges and the China Financial Futures Exchange in improving supervision standards for abnormal transactions. The goal is to effectively maintain the normal trading order of the market and crack down on illegal activities such as market manipulation and insider trading in accordance with laws and regulations.
The statement serves as a reassurance to investors and market participants that the regulatory authorities are committed to ensuring fair and transparent trading practices in the Chinese stock market.