Editorial Summary

The Shanghai Composite Index rose 2.26 percent on Wednesday to close at 4,334, after hitting a low of 4,238.2 Tuesday, while the Shenzhen Composite Index increased 2.49 percent to close at 1,355.3. Trading volume on the Shanghai and Shenzhen Stock Exchanges fell to RMB83 billion and RMB39 billion, respectively.

China Merchants Bank (600036.SH; 3968.HK) unlocked 2.5 billion shares worth RMB76.9 billion in Shanghai on Wednesday, reports Chengdu Economic Daily. Shares of Merchants Bank rose 4.87 percent to close at RMB31.84 in Shanghai on Wednesday.

Shanghai Pudong Development Bank (600000.SH) may issue 700 to 800 million new shares, reports International Finance News quoting an unnamed executive at the bank. A consensus was reached at the bank's board meeting on Tuesday that it will issue no more than one billion new shares, said the report. Shares of the bank rose 0.32 percent to close at RMB40.62 on the Shanghai Stock Exchange on Wednesday. Previous reports said Pudong Development Bank plans to raise RMB30 and RMB35 billion.