China B-shares sharply higher in early trade on market merger speculation

SHANGHAI (XFN-ASIA) - China B-shares were sharply higher in early trade amid reports that the securities watchdog is still studying the reform of the B-share markets, dealers said.

The Shanghai Securities News quoted Qi Bin, director-general of research and strategy at the CSRC, as saying it needs to proceed 'prudently' because market opinion on B-share reform is so diverse, with some proposals for the merger of A and B markets and others calling for the separate development of B-shares.

At 10:11 am, the Shanghai B-share Index rose 4.98 pct to 348.96 and the Shenzhen B-share Index rose 2.35 pct at 756.16.