China’s index closes amid speculation of tightening monetary policy

China shares fall amid tension with US and new strain of virus  Economy

China’s blue-chip index fell to Tuesday (26), the biggest daily loss since September, after touching a 13-year high in the previous session amid liquidity conditions and Chinese-American tensions.

The CSI300 index, which includes the largest companies listed in Shanghai and Shenzhen, fell 2.01%, the biggest drop of the day since 9 September. The Shanghai index fell 1.51% after 22 December, the largest daily loss.

The CSI300 financial sector sub-index declined by 1.71%, the consumer sector by 1.11% and the health sector by 3.04%.

Financials were under pressure to tighten liquidity conditions. Short-term rates jumped to pre-Kovid levels on Tuesday, with some investors speculating that the central bank may adopt a tight bias in its monetary policy.

Relations between China and the United States continue to weigh on sentiment. China said Tuesday that it would conduct military exercises in the South China Sea, with Beijing angry over the arrival of a group of American aircraft carriers in the area.

  • In TOKYO, the Nikkei index fell 0.96% to 28,546 points.
  • In Hong Kong, Heng Seng closed 2.55% down at 29,391 points.
  • In Shanghai, the SSEC index fell 1.51% to 3,569 points.
  • The CSI300 index, which includes the largest companies listed in Shanghai and Shenzhen, fell 2.01% to 5,550 points.
  • In Seoul, the KOSPI index fell 2.14% to 3,140 points.
  • In TAIWAN, the TAIEX index dropped 1.80% to 15,658 points.
  • In Singapore, the STIMITS TIMES index declined by 0.95% to 2,945 points.
  • The S & P / ASX 200 index in SYDNEY remained closed.
READ  EU's recovery model will overtake the US - Money Times

See more economy news:

Sarah Gracie

About the author: Sarah Gracie

Sarahis a reporter covering Amazon. She previously covered tech and transportation, and she broke stories on Uber's finances, self-driving car program, and cultural crisis. Before that, she covered cybersecurity in finance. Sarah's work has appeared in The Wall Street Journal, Bloomberg, Politico, and the Houston Chronicle.

Related Posts

Leave a Reply

Your email address will not be published. Required fields are marked *