Mainland China share market advanced to highest level three-years on Monday, 10 November 2014, after a new launch date was announced for an anticipated cross-border trading link between the Hong Kong and Shanghai, clearing uncertainty over the start of the program. The Shanghai Composite Index, which tracks both A and B shares, gained 2.3 percent to 2,473.67 at the close, the highest level since Nov. 15, 2011.
Bourses in the two cities will begin trading through the program, which allows a net 23.5 billion yuan a day in cross-border purchases, on November 17, regulators said in a joint statement after weeks of investor speculation on the start date. The exchange link between Hong Kong and Shanghai will give foreign investors unprecedented access to China's $US4.2 trillion equity market. The exchange link marks one of China's biggest steps toward opening up its capital account, boosting global use of the yuan and turning Shanghai into an international financial centre. It will give foreign investors greater access to Chinese companies linked to nation's consumer market.
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