China blue chips post worst day in three months after weak data

China shares were flat on Monday morning, with investors piling into environmental stocks but dumping banks and property firms in line with policy cues from a key political congress.

SHANGHAI: China's blue-chip index posted its worst day since mid-August on Tuesday, after a batch of data showed the economy cooled further last month and as Chinese treasury yields continued to creep up, a sign of tightening liquidity.

China's blue-chip CSI300 index was down 0.7 percent, with its financial sector sub-index higher by 0.01 percent, the consumer staples sector down 2.3 percent, the real estate index up 2.26 percent and healthcare sub-index down 1.66 percent.

At the close, the Shanghai index was down -17.87 points or -0.52 percent at 3,429.97.

Data on Tuesday showed that China's economy lost steam in October, with industrial output, fixed asset investment and retail sales missing expectations as the government extended a crackdown on debt risks and factory pollution.

Sentiment was further dented by signs that liquidity in the banking system remains tight, with China's benchmark 10-year treasury yields almost touching 4 percent, the highest level in three years.

The largest percentage gainers in the main Shanghai Composite index were SJEC Corp up 10.03 percent, followed by Hebei Hengshui Laobaigan Liquor Co Ltd gaining 10 percent and Shanghai Material Trading Co Ltd up by 9.99 percent.

The largest percentage losses in the index were Shanghai Feilo Acoustics Co Ltd down 7.59 percent, followed by Sanan Optoelectronics Co Ltd losing 7.41 percent and Hna Innovation Co Ltd down by 6.55 percent. - Reuters