China stocks fall as Beijing's crackdown fears hit sentiment

SHANGHAI: China shares fell on Thursday, as investors took cues from state media reports to dump online gaming companies, fertilizer producers and spirit makers, worried these sectors could be the next target of a government crackdown.

Risk appetite is also curbed by concerns over the fresh outbreak of COVID-19, as the delta variant spreads in the country.

The blue-chip CSI300 index fell 0.6% to end at 4,948.67, while the Shanghai Composite Index lost 0.3% to 3,466.55.

Online gaming stocks, which slumped on Tuesday after a state media report labelling the industry "spiritual opium", fell further, as official Securities Times called for healthy development of the sector.

Gaming stocks including Perfect World, Youzu Interactive and Wuhu Sanqi Interactive Entertainment Network Technology all dropped.

Investors also scrambled to exit chemicals makers such as Luxi Chemicals Group and Yunnan Yuntianhua Co on news that China is probing into chemical fertilizer companies over price gouging.

Growth hormone stocks, including Changchun High & New Technology Industries and Anhui Anke Biotechnology (Group) Co tumbled, after state media issued a new warning that such products do damage to people's health.

In addition, investors dumped spirit makers, including Kweichow Moutai Co and Luzhou Laojiao Co, as they were spooked by an article on the Ministry of Science & Technology's website that linked alcohol with some types of cancers. - Reuters

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 46
Cxense type: free
User access status: 3
Join our Telegram channel to get our Evening Alerts and breaking news highlights

CSI300 , Shanghai Composite Index


Next In Business News

Astro posts lower Q2 net profit due to elevated content cost�
Southern Acids Q1 net profit climbs on higher commodity prices�
Bursa Malaysia ends higher after volatile trading
Public Bank clinches record Best Bank in Malaysia award for 15 years
Universal Music Group shares surge on stock market debut
Evergrande woes hit Japan's toilet, air-conditioner and paint manufacturers
Mah Sing plans 10 property launches, focus on affordable products
Oil rises 1% as U.S. storm aftermath tightens U.S. supply
Malaysia pavilion hits RM572mil sales in CAEXPO 2021
Perak Transit issues RM100mil Islamic notes under expansion plan

Stories You'll Enjoy