China's Premier, Wen Jia-Bao, on the sidelines of a visit to Uzbekistan, indicated that more work needed to be done before the "through-train" program allowing mainland Chinese to directly buy Hong Kong shares could be implemented. Specifically, according to the South China Morning Post, he cited four areas that needed to be looked into:

• Promulgate a law to regulate outward mainland funds to minimize the shock to domestic China markets.
• Look into the possible negative impact on the Hong Kong market.
• Raise the sense of risk of mainland investors and their understanding of the Hong Kong market.
• Seek the opinions of related financial regulators, including those in Hong Kong.

Red Cat Journal is glad to see that the "through-train" scheme will be studied from multiple angles before implementation. Investors speculating on rapid implementation of the scheme, however, may be disappointed. We'll see how disappointed investors are in the coming weeks by observing the strength or weakness of the Hong Kong stock market.