CHINA’S stocks rebounded sharply Thursday, after authorities intensified efforts to calm fears about a crackdown on the private education industry and as the central bank pumped liquidity into the financial system.

The blue-chip CSI300 Index gained 1.89 percent, led by materials and industrial stocks. The Shanghai Composite Index rose 1.49 percent and the liquidity-sensitive ChiNext gauge of stocks rose 5.3 percent. The Hang Seng Tech Index surged as much as 8 percent.

Education firms, some of which are moving swiftly to overhaul their business to adjust to new regulations, were also higher after being heavily sold earlier in the week. New Oriental Education & Technology Group Inc. added as much as 13 percent while Koolearn Technology Holding Ltd. gained 21 percent.

The gains came after the securities regulator Wednesday night held a video conference with executives of top global investment banks with an aim to calm financial markets nerves, people familiar with the matter said.

The video conference, which included attendees from several major international banks including Goldman Sachs Group Inc. and UBS Group AG, was led by China Securities Regulatory Commission Vice Chairman Fang Xinghai, people familiar with the matter said.

Confidence was further bolstered after the central bank broke out of its usual pattern of daily liquidity operations by boosting cash injections into the financial system.

Domestic media also joined in to say yuan-denominated assets in the country remained attractive and that short-term market panic did not represent long-term value.

“In general, investment institutions generally believe that the current market correction is still a short-term event shock, rather than a reversal caused by changes in fundamentals,” China Securities Journal said in a commentary.

(SD-Agencies)