HSBC shares rebound amid probe
10-03-2009
The price of HSBC shares has rebounded amid an investigation by regulators into yesterday's dramatic plunge. The banking stock was up nearly 14 percent to HK$37-60 today, after falling 24 percent on Monday. The Financial Secretary, John Tsang, has expressed concern over the sharp fall. He said the securities regulator was probing yesterday's trading. A single transaction pushed the stock price down 12 percent seconds before the market closed. The Exchanges and Clearing said it would go through sales orders to see if there were any irregularities. The chief executive of HSBC Asia Pacific, Sandy Flockhart, has sought to calm investor fears. Mr Flockhart stressed that the bank was still making money, despite deciding to raise funds from shareholders through a rights issue. He said the volatility in the share price was expected.
