More on Xintai Speculative Frenzy

Bloomberg: China’s First Small-Cap Stock Delisting Spurs Speculative Frenzy

Traders continue to be drawn to the company despite declines this week. Turnover in the stock jumped to 155 million yuan on Tuesday, topping that of PetroChina Co., which has the biggest weighting on the nation’s benchmark index. While the shares tumbled 32 percent this week through Thursday, they climbed 1.4 percent at 10:43 a.m. The ChiNext dropped 0.5 percent.

“Speculators are having a field day with Xintai,” said Chen Jiahe, a strategist at Cinda Securities Ltd. “These guys are not going away despite regulatory tightening.”

Earlier: A-Share Insanity: Traders Gamble on Delisting Share