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TABLE-China stock investors increase leverage on market rebound
October 15, 2015 / 6:28 AM / in 2 years

TABLE-China stock investors increase leverage on market rebound

SHANGHAI, Oct 15 (Reuters) - Chinese stock investors increased their leveraged bets gradually over the past week, with outstanding margin loans
rising five days in a row, as the stock market rebounded after the long National Day holiday.
    Outstanding margin loans kept rising in October trade to 954.9 billion yuan ($150.55 billion) by Oct. 14, indicating investor confidence in the
market was picking up.
    Monthly outstanding margin loans, however, declined in September to 904.1 billion yuan, the lowest since Nov. 2014.
    Both domestic and foreign investors appeared to hold a relatively optimistic attitude towards the market. 
    A net inflow of 68.4 billion yuan was seen in Chinese investors' securities accounts last week, snapping five straight weeks of outflows, while
northbound money flowing under the Shanghai-Hong Kong Stock Connect scheme overall increased in the past five trading days.
    Some investors, however, remain cautious about a downward pressure on the market, due to the country's weak economy.
    China's economic growth is expected to fall below 7 percent in the third quarter, the first time since the global financial crisis, putting
pressure on policymakers to roll out more support measures as fears of a sharper slowdown spook investors. 
     
  * Weekly data on outstanding margin loans (unit:100 million yuan) 
   (margin loans outstanding hit a peak of 2.27 trillion yuan on June 18) 
                           Oct 14      Oct 13     Oct 12     Oct 9       Oct 8      Sept 30    Sept 29      Sept 28     Sept 25    Sept 24    Sept 23
                                                                                                                                              
 Margin loans outstanding  9,548.6     9,495.7    9,451.1    9,208.9     9,195.5    9,040.5    9,182.8      9,258.0     9,246.8    9,371.8    9,369.9
 % pct change w/w          0.55        0.47       2.63       0.15        1.71       -1.55      -0.81        0.12        -1.33      0.02       -0.16
        
  * Monthly outstanding value of China's margin financing and short selling (unit:100 mln yuan)  

                 Sept          August      July        June       May        Apr        Mar        Feb         Jan
 Margin loans    9040.51       10,561.03   13,352.00   20,443.69  20,728.63  18,306.96  14,864.39  11,522.99   11,258.33
 % change w/w    -14.4         -20.9       -34.7       -1.4       13.2       23.2       29         2.4         10.7
                                                                                                               
 Short selling   26.83         32.58       32.62       46.99      71.66      87.56      79.29      55.11       58.69
                                                                                                               
 % change w/w    -17.6         -0.1        -30.6       -34.2      -18.2      10.4       43.9       -6.1        -28.3
                                                                                                               
  Source: China Securities Finance Corp Ltd   
  
  * Weekly data on northbound money flows under the Shanghai-Hong Kong Stock Connect scheme (million yuan)
    Daily Quota: 13,000 million yuan 
       
                                Oct 14        Oct 13        Oct 12       Oct 9       Oct 8       Sept 30     Sept 29    Sept 24
                                                                                                                        
 Daily Quota Balance (RMB mln)  13,850.97     13,312.84     12,973.22    11,130.75   8,859.18    12,519.59   14,399.29  13,893.56
 Daily Quota Balance (%)        106           102           99           85          68          96          110        106
  Source: HKEx 
    
  * Weekly data on Chinese investors (unit: 10,000) 
                  Oct 8-9     Sept 28-29   Sept 21-25   Sept 14-18
 New Investors    10.36       13.88        26.84        28.10
 % change w/w     -25.4       -48.3        -4.5         -5.2
      
  China's new stock account opening:  bit.ly/1wvJ9S9
    
  Source: China Securities Depository and Clearing Corp (CSDC) 
    
    
  * Weekly fund changes in Chinese investors' stock accounts (unit: 100 mln yuan)   
                       Oct 8-9       Sept 28-30    Sept 21-25     Sept 14-18
 Net Fund Flows        684           -2,609        -1,554         -735
   Source: China Securities Investor Protection Fund
    
        
  * Monthly assets under management (AUM) data of China's mutual fund industry (unit: 100 mln yuan) 
                       August         July           June             May         Apr        Mar        Feb        Jan
 AUM                   66,372.95      68,758.14      71,140.33        73,592.83   61,997.91  52,414.37  48,607.18  45,449.04
 % change              -3.5           -3.3           -3.3             18.7        18.3       7.8        6.9        0.2
 Total Fund Units      63,624.92      63,674.36      62,386.15        59,719.22   51,914.01  44,966.39  43,895.41  41,951.35
 % change              -0.1           2.1            4.5              15.0        15.5       2.4        4.6        3.1
 Stock fund units      6,688.85       10,451.98      12,725.52        11,728.99   11,140.26  10,800.56  10,833.92  10,680.63
 % change              -36.0          -17.9          8.5              5.3         3.1        -0.3       1.4        -0.85
 Balanced Fund Units   16,329.90      15,391.78      20,107.49        17,113.14   10,409.72  7,416.54   6,144.94   5,672.60
 % change              6.1            -23.5          17.5             64.4        40.4       20.7       8.3        2.7
 Source: Asset Management Association of China  

($1 = 6.3429 Chinese yuan)

 (Reporting by the Shanghai Newsroom; Editing by Biju Dwarakanath)

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