China’s Stocks Fall Most in 2 Months on Concern About Japan Radiation Leak
Bloomberg reports on the economic impact so far for China of the Japanese nuclear disaster:
Yanzhou Coal Mining Co. led declines among coal producers on speculation the temblor will curb industrial production, reducing demand for the fuel from Japan manufacturers. Dongfang Electric Corp., which derived 6.5 percent of sales from nuclear power-related products in 2009, fell 5.7 percent. Ping An Insurance (Group) Co., the nation’s second-biggest life insurer, slid to a two-week low after selling shares to boost capital.
“Investors are worried about the situation in Japan as the blast at the nuclear plant makes it a regional risk,” said Zhou Xi, a strategist at Bohai Securities Co. “It’s not about the earthquake but more about radiation leakage concerns which will drag down the economy in Japan and even the whole of Asia.”
The Shanghai Composite Index, which tracks the bigger of China’s stock exchanges, tumbled 63 points, or 2.1 percent, to 2,874.63 at the 11:30 a.m. break. The CSI 300 Index (SHSZ300) slid 2.6 percent to 3,177.60, with all 10 industries falling more than 2 percent.
Read more about the risks of radiation in Japan, via the Beijinger.