China’s Stocks Complete Biggest Weekly Decline on Record
China’s stocks slumped, driving the benchmark index toward a record weekly drop, on concern government measures to curb bank lending and restrict price increases will dent profits.
The CSI 300 Index has tumbled 44 percent from its record high on Oct. 16, wiping out at least $840 billion from the value of China’s stock market. Utility stocks paced the decline today after Shanghai Electric Power Co. forecast a first-quarter loss on rising coal prices. PetroChina Co. fell below its November initial public offering price in Shanghai.
The CSI 300, which tracks yuan-denominated A shares listed on China’s two exchanges, retreated 114.13, or 3.4 percent, to 3,272.50 at the close. The measure, which more than doubled in 2006 and 2007, has dropped 14 percent this week, the steepest weekly decline since its introduction in April 2005.
Read also China shares fall to 12-month low from BBC News.