China asks banks to avoid political discussions ahead of the 20th CPC National Congress
According to the US "Wall Street Journal" reported on Friday (September 30), the China Securities Supervision Commission recently issued a consultation notice to a number of securities companies, including Goldman Sachs Group, JPMorgan Chase and other large international banks in China subsidiaries, some Banks also communicated the requirements of the China Securities Supervision Commission within the company.
Research strategists at JPMorgan's Asian private banking unit were told on an internal conference call earlier this week not to comment on politically sensitive topics for now, according to people familiar with the matter.
However, the China Securities Supervision Commission refuted the news reported by The Wall Street Journal, saying it was untrue.
A number of recent research reports by JPMorgan Private Bank have focused on topics such as the Sino-US audit agreement and the challenges facing China's real estate market. One of the research reports also explored whether China's "loan suspension wave" could snowball into China's "Lehman crisis", although the report believes that such an outcome is unlikely.
Goldman Sachs Group also recently released a forecast report on China's economic growth. Goldman Sachs also predicted that China is unlikely to ease epidemic prevention measures immediately after the 20th CPC National Congress.
reported that over the past few years, the China Securities Supervision Commission has issued similar warning messages to banks, brokerages and asset managers ahead of major political events. Such informal instructions or memos are often intended to prevent market turmoil or negative news ahead of an event.
The 20th National Congress of the Communist Party of China will be held in Beijing on October 16.