China: Stocks close down over 6%, worst loss in a month

[SHANGHAI] China stocks tumbled more than 6 per cent on Thursday, posting their biggest one-day loss in a month, as investors booked profits after the market's recent rebound.

The CSI300 index of the largest listed companies in Shanghai and Shenzhen fell 6.1 per cent, to 2,918.75 points, while the Shanghai Composite Index lost 6.4 per cent to 2,741.25.

Traders and analysts cited a confluence of reasons for the slide, including profit-taking, fears of tighter liquidity in the financial system, worries about the cooling economy and anxiety over looming liberalisation to initial public offerings (IPOs), which some investors fear could result in a cash crunch.

REUTERS