The New York Stock Exchange will go ahead with the delisting of three Chinese telecom companies targeted by President Trump’s executive order, and reverse course again after the New York Stock Exchange. He said earlier this week that he would not write them off.
The New York Stock Exchange said its latest action came after it received “new specific guidance” from the Treasury’s Office of Foreign Assets Control on Tuesday that listed the three companies’ US depositary receipts as being under Mr. Trump’s order. The NYSE statement also indicated that companies could appeal the delisting decision on the exchange.
A person familiar with the matter said the New York Stock Exchange fell on Monday due to ambiguity over whether the three companies were included in the order, but the new directive, which the Treasury Department shared with the exchange late Tuesday, made clear that the companies should be written off. The Treasury Department posted this directive online on Wednesday morning.
Wednesday’s reversal is likely to raise more questions about the exchange’s handling of the three Chinese stocks. Last week, the New York Stock Exchange said it would remove the three companies from the list in compliance with Mr Trump’s order, only to reverse course on Monday and say they have not been delisted. A person familiar with the matter said the New York Stock Exchange fell due to ambiguity over whether the three companies were involved. New guidance from the Treasury Department appears to have solved this problem.
The decline in the New York Stock Exchange has drawn criticism from the Trump administration and supporters of the hard line against Beijing. Treasury Secretary Stephen Mnuchin called NYSE Chairman Stacy Cunningham to dispute the fluctuations in the New York Stock Exchange.
All parties have been upset with the way the New York Stock Exchange, owned by Intercontinental Exchange Inc. , With Mr Trump’s order, one of the last red flags in his four-year effort to defeat Beijing.
In China, officials have criticized the telecom write-down, saying it would hurt the United States’ standing in global capital markets. “I am sure that all countries, not just China, are watching what the United States plans to do, which will determine whether it can be considered a reliable or reliable partner for cooperation,” a Chinese Foreign Ministry spokeswoman said in a briefing on Wednesday.
Meanwhile, US Beijing critics have accused the New York Stock Exchange of trying to win over the Chinese authorities before the inauguration of the president-elect.
Joe Biden, Who may take a softer stance in trade with China than Mr Trump.
“The New York Stock Exchange is trying to judge how the political winds are blowing, which is a very confusing situation right now,” said Dan David, founder of Wolfpack Research, an investment research firm that specializes in short selling or betting against the companies that do them. Scam, including Chinese companies.
The person familiar with the matter said the NYSE’s intention was always to comply with the executive order.
Investors were also whipped The delisting announcements once again and their suspension again pushed affected Chinese stocks on a runaway ride. Shares listed on the New York Stock Exchange of China Mobile, China Telecom and China Unicom fell between 3% and 6% in recent trading on Wednesday, following the latest delisting announcement.
This came after the three stocks were sold on Monday, only to rebound on Tuesday when it appeared that the New York Stock Exchange would allow the shares to remain listed after all.
Write to Alexander Osipovich at [email protected]
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