China’s stocks fell to a five-week low after a Caixin report that billionaire Guo Guangchang was missing added to concerns that slowing economic growth and an anti-corruption campaign are clouding earnings outlooks.
The Shanghai Composite Index slid 0.9 percent to 3,425.43 at 11:26 a.m. local time. Closely held Fosun Group, which controls Fosun International Ltd., has “lost contact” with Guo, 48, the magazine said, citing people it didn’t identify. Bonds in Fosun International fell by a record and the company suspended its shares in Hong Kong after the report, while other mainland stocks with ties to Fosun also requested halts. The Hang Seng China Enterprises Index retreated for a seventh day, led by rail, power and health-care companies.
President Xi Jinping has waged a battle against corruption since coming to power, while a probe into this year’s $5 trillion stock rout has ensnared officials at the securities regulator, senior staff at Citic Securities Co., and a top fund manager. Data on Saturday will probably show China’s industrial production remained near a six-year low in November, while fixed-asset investment this year slowed to the weakest pace since 2000.
“Since lots of senior managers have gone missing like this case, it has negative implications on the market even though nobody knows what has happened,” Ronald Wan, chief executive at Partners Capital International in Hong Kong. “Investors tend to be more cautious now.”
Shares of Jumei International Holding Ltd (ADR) (NYSE:JMEI) traded down -1.88% during last trading session on a U.S. exchange, closing at $9.41. The company now has a market value of $1.39B. The stock, after recent close, is -2.93% below their SMA 50 and -66.60% below the 52-week high. The worst hit in its 52 week range is $7.51 per share, with $28.17 as its 52 week best price.
Qunar Cayman Islands Ltd (NASDAQ:QUNR) closed U.S. trading at $49.62, up 1.78% from previous close. The year-to-date performance reflected a 74.53% above last year. During the past month the stock gains 24.42% bringing three-month performance to 59.81% and six-month performance to 1.91%.
Ctrip.com International, Ltd. (ADR) (NASDAQ:CTRP) settled at $50.49 during New York trading, down -0.45% from previous close and at a distance of -2.86% from 20-day simple moving average. In the last trading session, the stock’s price moved 39.81% up its 200 day moving average. The stock is currently trading 13.16% up its SMA 50.