China Stocks in U.S. Suffer Biggest Two-Day Wipeout Since 2008
- Nasdaq Golden Dragon China Index has fallen 15% since Thursday
- Index loses $769 billion in value amid rout in Chinese shares
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Beijing’s sweeping crackdowns of its technology and education sectors has unleashed shockwaves across global markets, erasing $769 billion in value from U.S.-listed Chinese stocks over the course of just five months.
The Nasdaq Golden Dragon China Index -- which tracks 98 of China’s biggest firms listed in the U.S. -- plunged 7% Monday after regulators in China unveiled an overhaul of its education sector which bans firms that teach school subjects from making profits, raising capital or going public. That adds to Friday’s 8.5% drop, bringing the gauge’s two-day decline to 15%, its biggest since 2008.