China Signals Less Stimulus, Undermining World’s Hottest Stocks
- Politburo meeting refers to deleveraging, property speculation
- Equity gauge tumbles 2.3% on Monday, biggest loss in a month
An investor monitors screens showing stock market movements at a brokerage house in Shanghai.
Photographer: Johannes Eisele/AFP via Getty Images
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The world’s best performing stock market is looking vulnerable after Beijing officials signaled they’re less comfortable about adding stimulus.
The CSI 300 Index of equities traded in Shanghai and Shenzhen sank 2.3 percent on Monday, its biggest loss in a month. Property developers led the plunge, along with old economy shares such as banks and industrial companies. The gauge fell as much as 0.5 percent on Tuesday.