Shanghai Composite drops below 3000

Shanghai Composite drops below 3000

FXStreet (Mumbai) – China shares extended this week’s loss by more than 3% on Tuesday, taking the benchmark index below the psychological level of 3000 as investors worried about the slowing economy.

As per Reuters report, China’s securities regulator tried to soothe investors late on Monday by saying that an ongoing crackdown on illegal margin financing would not have a significant impact on the market. However, that seems to have had a little or no soothing effect on the investor sentiment.

The Shanghai Composite Index fell to an intraday low of 2984.26, before recovering slightly to trade around 3030 levels; down 85 points or 2.75% on the day. The economic woes continue to hurt the stock prices. August industrial output and investment data on Sunday pointed to further weakness in the economy.

China shares extended this week’s loss by more than 3% on Tuesday, taking the benchmark index below the psychological level of 3000 as investors worried about the slowing economy.

(Market News Provided by FXstreet)