China Shipping shares drop again
The newly listed shares of China Shipping Container Lines fell sharply for a second day in a row on the Hong Kong stock exchange today, closing 19 percent below their initial public offering price of HK$3.175.
China Shipping shares dropped 8 percent today to HK$2.575, after falling 12 percent Wednesday, their first day of trading.
Reuters reported that some analysts are “worried that the highly cyclical freight rates are near their peaks.”
China Shipping Container Lines, the world’s 10th-largest container shipping line, raised about $1 billion on the Hong Kong market by selling a 40-percent stake in the company.