Wednesday, January 19

Evergrande trade halted in Hong Kong

The debt-laden Chinese real estate developer says the shutdown is pending the company’s release of “inside information”.

The headquarters of the real estate developer Evergrande in the Chinese city of Shenzhen.

Published:

Monday is the first trading day in 2022 on some of the stock exchanges in Asia and the Pacific region, but several important stock exchanges will not open until Tuesday.

In Shanghai and mainland China, Japan and Australia, the stock exchanges are closed on Monday, writes CNBC.

The picture was mixed on the leading stock market index, which was not closed on Monday morning.

This is what it looked like at about 6.00 Norwegian time:

  • Hang Seng in Hong Kong is down 0.60 percent
  • Kospi in Seoul is up 0.30 percent
  • FTSE Straits Times in Singapore up 0.27 percent

Evergrande trade halted

The crisis-stricken Chinese real estate giant Evergrande has not kicked off the year on the Hong Kong stock exchange so far.

Trading in the Evergrande share was stopped on Monday, the company states Reuters. Evergrande says trading has been halted because the company will publish “inside information”, without elaborating further.

According to Bloomberg, local media reports that Evergrande has been told by the authorities in Hainan province to demolish 39 apartment buildings, because they have obtained the building permits illegally.

Evergrande is the world’s most debt-ridden real estate developer, according to Reuters, with a debt of around $ 300 billion. The debt crisis in the company, which is one of China’s largest real estate developers, has shaken the market throughout the autumn and created fears that the entire Chinese economy will be destabilized.

Just before the New Year, Evergrande had another loan problem, after the deadline for two debt payments passed without any sign of payment.

The Evergrande share fell a total of 89 percent last year.

Singapore has turned

Singapore has presented recent figures: The country’s economy grew 7.2 percent last year, and thus got back on its feet after the worst economic downturn the city-state has had.

In the fourth quarter, the economy grew by 5.9 per cent compared with the corresponding quarter in 2020.

This is in stark contrast to 2020, when the economy fell 5.4 percent, the country’s worst economic downturn since independence in 1965.

For the current year, the government expects economic growth of 3–5 per cent.

Reference-www.aftenposten.no

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