MSCI and FTSE delisted China Oil Company CNOOC today (26/1) and tomorrow (27/1)

 MSCI and FTSE delisted China Oil Company CNOOC today (26/1) and tomorrow (27/1)

MSCI Delisted China Oil Company CNOOCFTSE Delisted China Oil Company CNOOCCNOOC is delisted

Daily News Sharing

After China Mobile Limited (941.HK), Semiconductor Manufacturing International Corp (981.HK), and China Telecom (728.HK), global indices like MSCI and FTSE announced that they would delist CNOOC (883.HK) in its index because of the executive order of the U.S..

Today, MSCI finished its rebalancing in MSCI China All Shares Indexes, more than 100 billion At the same time, FTSE would delist CNOOC (883.HK) tomorrow in its FSTE China A50 Index.

After the effect of delisting, the delisting is not affected the stock market, but also affected the bond market. JP Morgan points out that the banning on China firms could affect $60 billion of bonds. JP Morgan estimated that around “US$55-60 billion of bonds would be affected if the Treasury acts.” The investment bank also calculated that $1.3 billion would outflows in China Market because institutional investors are forced to sell their China's portfolio in a certain period of time.

From my point of view, I expected that MSCI and FTSE would delist more China Stocks in the future to comply with the executive order of the U.S. . From the newest information today, MSCI declares to remove five more China Stocks in its ACWI Index.

Reference: https://www.forbes.com/sites/siladityaray/2021/01/22/uks-ftse-russell-removes-chinas-cnooc-from-indexes-to-comply-with-trump-ban/?sh=f0517514788b

https://news.rthk.hk/rthk/ch/component/k2/1571718-20210122.htm

https://www.reuters.com/article/us-china-us-investment-bonds-idUSKBN29R2DQ

https://www.epochtimes.com/b5/21/1/26/n12713088.htm

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