Briefly

CSI 2000 stock index to gauge small-caps

China launched the CSI 2000 Index on Friday to better reflect the performance of small-cap securities in the market. The index, which selects 2,000 small-cap securities with good liquidity, opened at 2,399.83 points on Friday, according to China Securities Index Co Ltd. It increases the diversity of the company's index series, which also features the CSI 500 Index and CSI 1000 Index. Companies covered by the new index registered a combined capitalization of 9.32 trillion yuan ($1.3 trillion) at the end of July, accounting for 10 percent of the total capitalization of China's A shares.

Reverse repos add $276m to liquidity

The People's Bank of China, the country's central bank, conducted 2 billion yuan ($276.32 million) of seven-day, 1.9 percent reverse repos on Friday to keep liquidity reasonable and ample. A reverse repo is a process in which the central bank purchases securities from commercial banks through bidding, with an agreement to sell them back in the future.

Xinhua - China Daily