China opens foreign currency share market

Stock markets in China have soared as Chinese investors rushed to buy shares which have so far only been available to foreigners.

Both the Shenzen and Shanghai indices rose by over nine per cent soon after trading opened and the demand for shares was intense.

It was the first day of trading since China changed the rules earlier this month to allow Chinese citizens with legally-held foreign exchange accounts to buy what are known as B-shares.

The B-share market was set up in the 1990s to attract foreign capital but demand has been slack and the government is hoping that opening the market to domestic investors will bring in about seventy-five billion dollars.

From the newsroom of the BBC World Service