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Chinese shares fall sharply as economic data undermines mood | |
(about 1 hour later) | |
Mainland Chinese shares fell on Monday after economic data released on Sunday underlined fears growth is slackening. | |
Growth in both fixed-asset investment, up 10.9% in August from a year ago, and factory output, at 6.1%, came in below expectations. | Growth in both fixed-asset investment, up 10.9% in August from a year ago, and factory output, at 6.1%, came in below expectations. |
The Shanghai Composite was down 3.5% at 3,087.89 - having lost nearly 40% since its peak in mid-June while Hong Kong's Hang Seng was up 0.1% at 21,532.58. | |
Shares of four of China's largest brokerages tumbled as much as 7%. | |
The falls followed news of fines and penalties from the securities regulator for failing to conduct proper checks on clients. | |
The four were fined 178.5m yuan ($28m; £18m) and had 62.4m yuan of profits confiscated, according to the securities filings by the companies. | |
Regulators have been cracking down on trading firms to stem the volatility that has rocked the markets for the past few months. | Regulators have been cracking down on trading firms to stem the volatility that has rocked the markets for the past few months. |
US rates | |
The rest of Asian shares traded mixed, despite Friday's positive finish on Wall Street, with investors cautious in advance of the Federal Reserve meeting this week. | |
All eyes are on the US policy meeting, which ends with a decision on Thursday on whether to raise interest rates for the first time in almost a decade. | All eyes are on the US policy meeting, which ends with a decision on Thursday on whether to raise interest rates for the first time in almost a decade. |
Economists are split on whether the long-awaited move will happen. | Economists are split on whether the long-awaited move will happen. |
Japan's benchmark Nikkei 225 index finished down 1.6% to 17,965.70 points. | |
Japanese investors are also looking ahead to the conclusion of the Bank of Japan's two-day policy meeting on Tuesday, where they are expected to maintain their easing programme. | Japanese investors are also looking ahead to the conclusion of the Bank of Japan's two-day policy meeting on Tuesday, where they are expected to maintain their easing programme. |
In Australia, the benchmark S&P/ASX 200 closed up 0.6% to 5,102.30. | |
Shares in Oil Search reversed earlier losses to close up 0.2% after it rejected an $8bn (£5.2bn) takeover proposal from Australia's biggest energy firm Woodside Petroleum, saying the offer was too cheap. | |
South Korea's benchmark Kospi ended down 0.5% to 1,931.46. |