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Mainland investors undaunted by latest brokerage crackdown

Investors appeared unfazed by news that the China Securities Regulatory Commission had punished six securities firms for rules violations as stocks rose 2.5% Tuesday to close at over 3961, the highest closing level since March 14, 2008, The Wall Street Journal reported. A similar crackdown in February spooked investors and sent the Shanghai Composite Index tumbling by 7.7% in its worst one-day drop in more than six years. But recent state media missives seemed to be aimed at averting any resurgence of such concerns, with a Monday report from Xinhua touting the prospects of China’s bull market.

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