Bloomberg (07/11) -- China’s stock-index futures were little changed before the start of a Communist Party meeting later this week.
November futures on the CSI 300 Index slipped 0.1 percent to 2,354.20 as of 9:19 a.m. Bank of China Ltd. may be active after the Shanghai Securities News reported China’s four biggest banks made 182 billion yuan ($30 billion) of new loans in October, 40 billion yuan less than a year ago. Heilongjiang Agriculture Co. may rise after Premier Li Keqiang said land management and finance reforms are needed to support the agriculture industry.
The Shanghai Composite Index dropped 0.8 percent to 2,139.61 yesterday, with trading volumes 21 percent below the 30-day average. The CSI 300 Index decreased 1.3 percent to 2,353.57. The Hang Seng China Enterprises Index slid 0.7 percent. The Bloomberg China-US Index fell 0.5 percent.
China’s top party officials will meet in Beijing from Nov. 9-12 to map out a blueprint for reform as the country heads for its slowest growth in more than two decades.
The plenum is likely to release “far-reaching” reform plan on structural issues, Zhiwei Zhang, Nomura Holdings Inc.’s China economist, wrote in a Bloomberg column. Zhang said financial reform, capital account liberalization and exchange rate flexibility may pick up speed.
The Shanghai index has dropped 5.7 percent this year and trades at 8.5 times projected profits for the next 12 months, lower than the seven-year average of 15.3, according to data compiled by Bloomberg.
Suntech Power Holdings Co. led Chinese stocks in New York lower after filing for a provisional liquidation. NQ Mobile Inc. rose as it completed a deposit transfer to improve the transparency of its cash holdings.