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China stocks slump as skittish investors pare risks

Concerns about rising funding costs, corporate governance issues, liquidity pressures and tougher regulatory oversight are hammering companies on the Shenzhen gauge

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Profit warnings by some firms and reports that regulators are probing the finances of an index heavyweight are adding to investor bearishness.

Hong Kong

AS global stocks rally to new records, one part of China's equity market is heading in the opposite direction.

The ChiNext index of small-cap shares plummeted 5.1 per cent on Monday, its biggest loss in seven months, extending its retreat this year to 16 per cent. That is

sentifi.com

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