Last month has been quite volatile for Chinese stocks because the U.S. regulator decided to delist a few Chinese companies that failed to adhere to the Holding Foreign Companies Accountable Act. According to this act, the SEC could delist companies from U.S. exchanges if U.S. regulators cannot review their audited financials for three consecutive years.
However, U.S.-listed Chinese stocks surged Friday, following a report that Beijing is preparing to give U.S. regulators full access to audit reports for most of the 200-plus companies listed in the United States as soon as the middle of this year. With this news, the Hang Seng index also gained 2.1% to close at 22,502.31.
