SHANGHAI: The nation’s top ‘blue chip’ index stocks suffered their worst fall in 18 months in a collapse which will spark fresh fears of another global financial crisis.
Overnight consumer and healthcare firms led the fall and dragged the CSI300 index of China’s top stocks traded in the Shanghai and Shenzhen stock exchanges down sharply by 2.93 per cent, to 4103.73.
In real terms the shocking fall marks the sharpest plunge percentage terms since June 2016. The broader Shanghai Composite Index lost 2.26 percent to 3352.99 points, its worst day since December.
Treasury bond yields remained at multi-year highs despite above average cash injections by the central bank this as concerns authorities would tighten lending rules took their toll.
