Chinese investors' confidence for securities market narrows in drop

BEIJING - Chinese investors' confidence for the securities market continued to fall in May, but the drop narrowed, a survey showed Tuesday.

The confidence index stood at 48.9 in May, down three percent month-on-month, compared with an 8 percent drop in April, according to China Securities Investor Protection Fund Corp.

An index reading over 50 means optimism for the stock markets.

Meanwhile, Chinese investors' recognition for the overall valuation of the stock markets rose 1.9 percent month on month in May to reach 48.9.

The index report showed that Chinese investors were not optimistic about the outlook for a strong rebound but sentiment was on the side of the markets being resilient to further falls.

Chinese stocks closed higher on Tuesday, with the benchmark Shanghai Composite Index up 0.44 percent to close at 3,153.74 points.