HONG KONG May 19 Shanghai shares plunged to a
three-week low on Monday as financials and property stocks fell
following stiffer regulations on interbank lending and more
evidence of cooling in the property market.
The Shanghai Composite Index ended down 1.1 percent
at 2,005.18 points, the lowest close since April 28. The CSI300
of the leading Shanghai and Shenzhen A-share listings
lost 1.4 percent, reaching its lowest close since March 20.
Chinese banks were the biggest drag for mainland markets in
the morning session, following tougher rules on interbank loans
announced late on Friday.
The finance index slipped 1.9 percent, with almost
all banks declining. Among the top losers, Industrial Bank Co
Ltd and China CITIC Bank Corporation Limited
both dropped 2.8 percent.
The Chinese property sector was weakened by data on Sunday
that showed average new home prices slowed to a near one-year
low in April.
China Fortune Land Co Ltd ended down 8.3
The beverage-sector also fell. Kweichow Moutai Co Ltd
slid 4.6 percent after a price cut by competitor
Wuliangye Yibin Co Ltd sparked speculation of
similar moves. Wuliangye was down 2.5 percent.
(Reporting by Grace Li; Editing by Richard Borsuk)