China Now Has More than 100 Million Stock Market Investors
Mars Woo | | Feb 01, 2016 02:36 AM EST |
Investors observe stock market at an exchange hall on December 17, 2015 in Fuyang, Anhui Province of China. The Shanghai Composite Index rose 63.81 points, or 1.81 percent, to close at 3,580.00 points. The Shenzhen Component Index climbed 314.45 points, or 2.51 percent, to 12,825.5 points. (Photo by ChinaFotoPress/ChinaFotoPress via Getty Images)
Despite the volatility in the Chinese markets, the number of stock market investors in China has soared to 100.4 million in January, according to the China Securities Regulatory Commission.
For the month of January alone, about 1.3 million new stock market investors were recorded, even as the Chinese equities continue to swing in the bearish and bullish directions.
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The official data showed that every day in January, an average of 67,500 new investors joined the stock market to bet on the country's stocks.
The daily average last month was higher than the 48,600 new investors everyday that were recorded in January last year.
The data, however, showed the tepid market mood of China's stock market investors in the third week of January. In the first week of January, 21.7 million of the country's stock market investors traded shares while only 16.62 of them did so in the third week.
China's stock market has been on a swing recently, with the stock market rout in June 2015 that resulted to the massive global sendoff.
In an attempt to protect investors from the sudden stock market swing, China introduced the stock market circuit breaker. The circuit breaker automatically halts trading as soon as the daily trading threshold was reached.
However, analysts said the circuit breaker further added to the problems in the market, resulting to the plunged of stock prices. Authorities decided to pull out the circuit breaker less than a week after it was introduced.
There are 1,081 and 1,747 listed companies in the Shanghai and Shenzhen stock markets, where the price-earnings ratio were 14.54 and 41.38 respectively.
Latest report also showed that China has the world's second-most capitalized stock market behind the United States, after overtaking Japan a year ago.
TagsChina stock market, China Stock Market Investors, china stocks
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