Shares in mainland China have been slowly on the rise as increased efforts to strengthen the market from its recent dip have stimulated new investments.
The Shanghai Composite has bounced back with an almost 20% increase from the 4 month low this week. The latest procedures from regulators involve clamping down on so called grey-market margin lending which in turn will reduce investors creating false trading accounts.
The Chinese market is still down by over 20% from last month when shares were at their highest price, prompting the government to intervene with preventative provisions. Many Asian shares were higher due to promises of Greek negotiations, however uncertainty about Greece’s future led the euro to fall initially, however after the announcement that the European Central Bank (ECB) had agreed to repay a Greek repayment of €3.5bn, which is currently still due on the 20th of July.
The benchmark index has since seen its largest daily rise in three months. Shares of Hotel Shilla are also up 2.4% after partners of the hotel and Hyundai Development Engineering & Construction were granted licences to open duty-free shops in Seoul, South Korea.