Consolidation's the 'A' game

Uncertainty over policy deepens the wait-and-watch stance; directionless market moves sideways

The Chinese stock market will likely continue to experience muted trading this week/month as investors have adopted a wait-and-see attitude and are awaiting further policy clarification from the government.

The hitherto wild A-share market saw extremely light turnover last week. Daily volatility reached the lowest level in 14 years. The benchmark Shanghai Composite Index fell 3 percent over the past month.