On April 9th, during the closing hours, the stock price of China's Tianrui Cement suddenly experienced a sharp decline. In just 25 minutes, it plummeted from 4.92 Hong Kong dollars per share to 0.048 Hong Kong dollars per share, marking a staggering 99.3% drop at its lowest point during the session. By the closing bell, the stock price remained at 0.048 Hong Kong dollars per share, with a massive decline of 99.04%. The company's total market capitalization dwindled to a mere 141 million Hong Kong dollars, witnessing a single-day evaporation of 14.55 billion Hong Kong dollars in market value. The total trading volume for the day amounted to 24.38 million Hong Kong dollars.

Source：uSMART

This diagram is provided for illustrative purposes exclusively

The trading activity of this stock has been relatively low, with limited volume over the long term, averaging a few hundred thousand shares per day in the past month. However, on April 8th, the trading volume was 90,000 shares, and during the closing hours on April 9th, there was a sudden significant increase in trading volume, reaching a total of 281.3 million shares traded throughout the day. This is clearly different from the usual pattern.

On the 10th, China Tianrui Cement announced on the Hong Kong Stock Exchange that trading would be suspended starting from 9 a.m. pending the release of an announcement related to internal company news.

In the afternoon of that day, according to a reporter from Dahe Caifang, a subsidiary of the Henan Daily Group, who is close to Tianrui Group, it was revealed that "China Tianrui Cement Company is actively contacting colleagues at its Hong Kong office to understand the situation. Currently, the company's production and operations are all normal."An analyst from a Hong Kong-based Chinese brokerage firm interviewed by Securities Times stated, "The stock price plummeted by 99% before the close, which is highly likely due to the stock being pledged. The brokerage firm demanded additional margin, but the pledger did not have sufficient collateral to meet the requirements, resulting in forced liquidation by the brokerage firm."

How to place a trade on uSMART mobile application

Log in to the uSMART APP.

1. From the bottom of the page, select "Market."
2. At the top of the page, choose the market you are interested in, such as US stocks or Hong Kong stocks.
3. After selecting the stock code of the stock you want to invest in, click on "Trade" in the bottom right corner.
4. Choose the "Buy/Sell" function.
5. Finally, select the stock price, quantity of shares, trading conditions, and submit the order.
6. If you prefer to use the "Smart Order" function, select the type of smart order.

Here is a visual guide for the steps:

This diagram is provided for illustrative purposes exclusively

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