(ECNS) – China Securities Finance Corporation Limited (CSF), the national margin trading service provider, will continue efforts to stabilize blue-chip stocks while stepping up the buying of small and mid-cap stocks, in a bid to ease the liquidity crunch on the market, China's securities watchdog said on Wednesday.
Deng Ge, a spokesperson for the China Securities Regulatory Commission (CSRC), said that irrational panic selling is to blame for the recent liquidity crunch on the stock market.
The CSF has made the decision to help restore normal trading, Deng said.
