Investment Daily Note

Market Highlights

Chinese Vice-Premier Ma Kai and British Chancellor of the Exchequer George Osborne co-hosted the 7th UK-China Economic and Financial Dialogue at Beijing yesterday, agreeing to conduct feasibility study on interconnecting stock exchanges in Shanghai and London (Shanghai-London Connect), which in the long run should introduce more overseas investors into A-share market.

Ministry of Finance published a list of policy accomplishment of the 7th UK-China Economic and Financial Dialogue at its website, showing that the U.K. welcomed China to participate and invest in the Hinkley Point nuclear project and would gradually allow China to participate in other new nuclear projects in the U.K., including spearheading the development of other nuclear plants in the U.K. It would also support introduction of Chinese nuclear reactor technology subject to independent regulatory approval. We expect the news to boost the Chinese nuclear equipment stocks.