(Yicai Global) Jan. 28 -- China's stock markets opened higher this morning with investors encouraged after top industry watchdog, the China Securities Regulatory Commission, installed a new chairman over the weekend.
The watchdog appointed Yi Huiman, former chairman of China's biggest commercial lender, the Industrial and Commercial Bank of China, as chair to replace Liu Shiyu who has taken another role in government.
The benchmark Shanghai Composite Index was up 0.8 percent at 2,622.63 points as of 9.50 a.m., after opening 0.54 percent higher. The Shenzhen Component Index was up 0.69 percent at 7,647.57 at the same time, after opening 0.6 percent higher. The ChiNext Price Index, which tracks growth enterprises in Shenzhen, was up 0.3 percent at 1,269.28 points after opening 0.54 percent higher.
Under former Chairman Liu, the CSRC had launched a series of measures to crack down on illegal activities in the capital market, but he was unable to stop the market's downtrend which had drained investor confidence. The Shanghai Composite Index has lost as much as 30 percent of its value since peaking last January.
Market speculation surfaced as early as Jan. 24 that the regulator may change its head though this was not officially confirmed until the afternoon of Jan. 26.