Shanghai won’t extend trading hours for bourse linkage with HK

May 05, 2014 18:29
Difference in stock trading hours between Hong Kong and Shanghai has very limited impact on investors, says the Shanghai exchange operator. Photo: Bloomberg

The Shanghai Stock Exchange has no plans to extend its trading hours in view of the forthcoming stock trading link with Hong Kong, the 21st Century Business Herald reported, citing a senior exchange official.

The bourse operator was reacting to rumors that Shanghai was mulling over plans to extend trading hours for A shares by 1.5 hours to close at 4 p.m. in line with the Hong Kong exchange's business hours.

However, the official denied there was such a plan, saying both exchanges would stick to their current trading hours. “Difference in trading hours won’t result in regulatory arbitrage and has very limited impact on investors,” the official was quoted as saying.

Currently, the Shanghai stock market trades from 9 to 11:30 in the morning session and from 1 to 3 in the afternoon. The Hong Kong market trades from 10 a.m. to 12:30 p.m. in the first session and from 2:30 to 4 in the afternoon.

China is boosting stock market ties with Hong Kong with new measures allowing cross-border stock trading between Hong Kong and Shanghai.

Under the scheme, mainland investors will be allowed to trade shares in designated Hong Kong-listed firms, while Hong Kong investors will be allowed to buy shares in companies listed in Shanghai.

The pilot project will be launched after a preparation period of about six months.

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