U.S. Says Speculation of Deal on China Stock Listings Is Premature

(Bloomberg) — The U.S. audit watchdog said speculation about a deal that would keep hundreds of Chinese companies from being kicked off American stock exchanges is “premature.”

In a statement on Thursday, the Public Company Accounting Oversight Board said that while it continues to meet with Chinese regulators, it’s unclear if Beijing authorities will ultimately permit U.S. inspectors to fully review the audit papers of companies. The regulator added that any agreement would only be a “first step” and that the PCAOB would then investigate to ensure that the deal is being followed.