Stock performance was mixed today, after the sharp ups and downs of the past week. Ten rose on the day, with Dongfeng Motor easily the best of them, up 2.98% to HK$11.74, on news of approval of a joint venture with Volvo; none of the other nine put on more than 1%, though SAIC Motor came closest, appreciating by 0.92% to RMB13.92.
Declines were led by Noble Group, down 2.55% to SG$0.955, helping make it the second worst performer over the week (see below), and Ping An Insurance, down 1.12% to RMB40.54.
The stories of the tax haven accounts does not seem to have particularly disturbed Chinese stocks, despite revelations concerning Sinopec and PetroChina, for example. The dump of 37,000 documents pertaining to offshore accounts from China, Hong Kong and Taiwan will take time to comb through, and one should be prepared from more stories blowing up over the coming weeks (if the Guardian and co are doing their job properly). Yet I somehow wonder how much of a problem this will be for the biggest Chinese stocks. If their biggest shareholders are institutional investors, such as state pension funds etc, then the expectation of a “shareholder revolt” can be forgotten. It would simply be too embarrassing for the party. This is not to say that executives won’t be punished, but a full-frontal assault bringing up awkward details is not the party’s style.
The Shanghai Composite closed at 2,054.39, gaining 12.21 points (+0.60%).
|Name||Price||Change||Mkt cap||52wk high||52wk low||EPS||P/E|
|China Construction Bank||3.92||0.00 (0.00%)||980,043.05M||5.19||0||CN¥0.85||4.63|
|Agricultural Bank||2.37||+0.01 (0.42%)||769,762.02M||3.28||2.35||CN¥0.50||4.72|
|Bank of China||2.5||+0.02 (0.81%)||698,411.38M||3.26||2.45||CN¥0.53||4.71|
|China Mobile||76.40*||-0.60 (-0.78%)||1.54B||89.2||74.9||HK$8.20||9.31|
|Noble Group||0.955||-0.025 (-2.55%)||6,328.86M||1.27||0.785||SGD0.04||26.13|
|China State Construction||3.04||+0.02 (0.66%)||91,200.00M||4.18||2.9||CN¥0.62||4.94|
|China Railway Construction||4.24||+0.01 (0.24%)||52,311.17M||6.25||3.95||CN¥0.84||5.04|
|China Railway Group||2.46||+0.01 (0.41%)||52,397.75M||3.36||2.3||CN¥0.44||5.61|
|SAIC Motor||13.19||+0.12 (0.92%)||145,427.22M||19||11.83||CN¥2.05||6.43|
|China Life Insurance||14.36||-0.15 (-1.03%)||405,881.15M||22||12.88||CN¥0.97||14.86|
|Dongfeng Motor||11.74*||+0.34 (2.98%)||101,153.25M||13.28||9.48||HK$1.38||8.52|
|China Shenhua||14.37||+0.12 (0.84%)||285,813.84M||25.28||13.97||CN¥2.25||6.38|
|Ping An Insurance||40.54||-0.46 (-1.12%)||320,920.41M||53.27||31.69||CN¥3.45||11.75|
|China Telecom||3.68*||+0.02 (0.55%)||297,831.12M||4.4||3.48||HK$0.26||14.23|
|China Communications Construction||3.86||0.00 (0.00%)||62,434.48M||5.79||3.74||CN¥0.81||4.77|
|Bank of Communications||3.74||0.00 (0.00%)||277,742.60M||5.68||3.65||CN¥0.84||4.44|
For a change, more stocks rose over the week (twelve) than fell (five). Transport and infrastructure stocks did best – with SAIC Motor gaining 5.69%, China Railway Group 3.36% and China Railway Construction 3.16%, while China State Construction put on 2.36%. As we’ve consistently seen in the business briefs, Chinese companies are busy constructing roads, harbours and rail throughout Africa, central Asia and increasingly in Europe, too.
CNOOC led the fallers, precipitated by missing annual production targets, and for the third year in a row, losing 8.88% over the week.