SHANGHAI: China's stock benchmarks dropped over 1% on Thursday, with property and banking stocks leading the slide on fears that debt-ridden developer China Evergrande Group's financial troubles would trigger a broad contagion.
The blue-chip CSI300 index fell 1.2% to 4,807.70, while the Shanghai Composite Index lost 1.3% to 3,607.09 points.
Hong Kong-listed shares of China Evergrande slumped 6.4% to the lowest in a decade as it battled a liquidity crisis amid Beijing's draconian curbs on a bloated sector. Rating agency Fitch warned that an Evergrande default could expose numerous sectors to heightened credit risk.
Its main unit, Hengda Real Estate Group Co Ltd, halted trading of its onshore corporate bonds following a downgrade, a move that some anaRead More »