The Shanghai Composite Index dropped 1.1% early Wednesday, while Hong Kong stocks swung between small gains and losses, after MSCI Inc. said ahead of the market open that it had decided not to include China's A-shares in its global benchmarks until some market issues are worked out, citing the allocation of investing quotas for large investors and capital mobility. However, the index compiler said the A-shares will remain on the 2016 review list for potential inclusion. The Hang Seng Index was up 0.2%, while Hong Kong's mainland-China-tracking Hang Seng China Enterprises Index was flat. Weighing on the Hong Kong benchmark, top-weighted component HSBC Holdings PLC was off 0.4%, extending losses after it announced a major restructuring plan on Tuesday, including cutting 50,000 jobs globally. HSBC's London shares had fallen 0.9% overnight, but the lender's Hong Kong stock had already lost some ground Tuesday as details of the restructuring broke. Meanwhile, nuclear-power stocks mostly declined in Hong Kong and Shanghai, as money shifted into the shares of China National Nuclear Power Co. , which debuted in Shanghai, soaring limit-up with a 44% gain. With investors buying the new issue, Hong Kong-listed CGN Power Co. tumbled 7.2%, and CNNC International Ltd. sagged 5.3%. Shanghai Electric Group Ltd. declined 6.8% and 3.2% in Shanghai and Hong Kong, respectively, and shares of Dongfang Electric Corp. slid 6.4% in Shanghai, while its Hong Kong-listed stock edged up 0.2%.
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