Markets stabilize after officials quash IPO fears

Central bank governor says China's monetary policy is prudent

Chinese stocks stabilized on Friday after Thursday's turmoil as the securities regulator quashed market rumors and the central bank governor said policymakers have room for further easing to stimulate economic growth.

The benchmark Shanghai Composite Index rose by 0.95 percent to close at 2,767.21 points on Friday. The Shenzhen Component Index increased by 0.24 percent, while the startup index ChiNext dropped by 1.09 percent.