Editorial Summary

The Shanghai Composite Index tumbled 3.47 percent on Friday to close at 4,370.3, while the Shenzhen Composite Index slid 2.9 percent to close at 1,382. Trading volume on the Shanghai and Shenzhen Stock Exchanges reached RMB109.8 billion and RMB53.4 billion, respectively.

Shares of Daqin Railway Co., Ltd. (601006.SH) fell 8.04 percent to close at RMB20.37 on Friday in Shanghai as contractor Zhong-Tie Construction Group Corporation Limited, whose business has some overlaps with Daqin Railway, will start its retail allotment in Shanghai on Monday, reports Sina. Zhong-Tie plans to list 2.8 billion A-shares in Shanghai on March 10 and up to 1.7 billion H-shares in Hong Kong on March 13. There was also speculation that Daqin Railway is planning more fundraising. Daqin Railway has not yet begun discussing any future financing plans at company board meetings, reports Shanghai Securities Journal quoting an unnamed executive.