The Shanghai Stock Exchange ("SSE") has recently issued the Circular on Amending Relevant Articles of the Implementing Rules of the Shanghai Stock Exchange for Bond Trading (the "Circular"), and meanwhile, the Shenzhen Stock Exchange ("SZSE") has released the Circular on Amending Paragraphs 1 and 3 of Article 5 and Article 31 of the Implementing Rules of the Shenzhen Stock Exchange for Bond Trading. Both documents are set to take effect from January 21, 2019.
The Circular reads that the SSE will prolong the trading hours for pledge-style bond repurchases and has introduced into the Implementing Rules for Bond Trading a revision which, more specifically, is the addition of a new article as Article 10, reading: "Pledge-style bond repurchases are subject to the competitive pricing mechanism, by which the premarket call auction will start from 9:15 till 9:25 on a trading day, and from 9:30 to 11:30 and from 13:00 to 15:30 are the time for continuous auction. The SSE may adjust trading hours upon approval of the China Securities Regulatory Commission ("CSRC"), when it is necessary to do so for the sake of market development".