The Shanghai Composite added 0.2% to close at 3,896 on Wednesday, while the Shenzhen Component advanced 0.4% to 13,795, as investors focused on developments from the ongoing National People’s Congress Standing Committee meeting. The August 25–28 session is under close scrutiny for potential policy support in the wake of soft economic data and repeated official pledges to shore up growth.
In credit markets, China Merchants Bank is issuing a three-year floating-rate note linked to the overnight bond repurchase rate, becoming the first domestic commercial bank to do so. Earlier this month, the Export-Import Bank of China became the first policy bank to sell debt tied to the same benchmark. These moves highlight the PBOC’s push to establish the overnight repo rate as the main reference for short-term funding costs, aligning China’s monetary policy framework more closely with international practice.
On the equity side, notable gainers included BYD (up 1%), Victory Giant Technology (up 1.9%), and Wus Printed Circuit (up 3.9%).
