Nov. 8 (Bloomberg) -- China's stocks fell by the most in four months. Property developers and oil-related shares led declines after China Vanke Co. reported a drop in sales and the price of crude dropped.

Vanke, China's biggest listed property developer, slid to its lowest in two weeks. PetroChina Co., the world's largest company following its debut on the Shanghai stock exchange this week, slid.

``Property developers seem to be showing initial signs of slowdown and the outlook isn't heartening,'' said Chen Shide, who manages the equivalent of $212 million at GF Fund Management Co. in Guangzhou. ``The decline in oil prices gives investors a reason to sell oil shares, such as PetroChina, which are already expensive.''

The CSI 300 Index, which tracks yuan-denominated A shares listed on China's two exchanges, tumbled 256.96, or 4.8 percent, to 5,093.67, declining the most since July 5. It was the biggest fluctuation among markets included in global benchmarks. The measure has dropped 13 percent from its record close of 5,877.20 on Oct. 16.

Vanke, the nation's biggest listed property developer, slid 1.57 yuan, or 4.3 percent, to 34.93, the lowest since Oct. 25. Vanke sold property worth 5.16 billion yuan ($693 million) in October, 25 percent less than the previous month, it said in a statement.

Shanghai Shimao Co., owned by property tycoon Xu Rongmao, retreated 1.91 yuan, or 8.6 percent, to 20.39. Financial Street Holding Co., a Beijing-based property developer, lost 2.13 yuan, or 5.8 percent, to 34.80. Beijing North Star Co., the property arm of Beijing's city government, slumped 0.75 yuan, or 6.3 percent, to 11.14.

Fastest Pace

Shenzhen property developers are cutting prices by 10 percent after the government introduced measures to cool the market, the South China Morning Post reported yesterday.

China raised the interest rates on mortgages and the down payment for second homes in September. The tax bureau and finance ministry may also impose a real-estate tax on high-end and large property developers, the China Securities Journal said on Oct. 14.

House prices in China's 70 major cities rose 8.9 percent from a year earlier in September, the fastest pace since records began in August 2005, according to the National Development and Reform Commission.

PetroChina retreated 2.24 yuan, or 5.5 percent, to 38.19. The stock jumped 163 percent on its first day of trading in Shanghai on Nov. 5. China Oilfield Services Ltd., the drilling unit of the nation's third-largest oil producer, tumbled 2.93 yuan, or 7.4 percent, to 36.92.

Crude oil fell as much as 1.5 percent to $94.93 a barrel in after-hours trading in New York today on signs U.S. demand may be slowing. The contract rose to a record yesterday before slipping 0.3 percent.

Copper Stocks

Jiangxi Copper Co. paced the slide among producers of the metal as copper futures in Shanghai fell to the lowest in more than two months.

Jiangxi Copper, China's second-biggest producer of the metal, fell 5.17 yuan, or 8.8 percent, to 53.65. Tongling Nonferrous Metals Group Co., the largest, plunged 3.02 yuan, or the 10 percent daily limit, to 27.33. Yunnan Copper Industry Co., the No. 3, slid 5.89 yuan, or 9.3 percent, to 57.61.

Copper for January delivery fell as much as 2.6 percent to 61,810 yuan a ton on the Shanghai Futures Exchange, the lowest intraday price since Aug. 17.

The contract fell on concern that rising inventories are signaling weaker demand for the industrial metal. Inventories monitored by the London Metal Exchange yesterday increased to the highest since April 19.

The Shanghai Composite Index, which tracks the bigger of China's stock exchanges, fell 4.9 percent to 5,330.02. The Shenzhen Composite Index dropped 4.2 percent to 1,321.05.

To contact the reporter on this story: Zhang Shidong in Shanghai at szhang5@bloomberg.net

Last Updated: November 8, 2007 02:51 EST