China Stocks Fall Most in 4 Years as CSI 300 Enters Bear Market

China’s stocks fell the most in four years, as the CSI 300 Index entered a bear market after the central bank signaled it will maintain efforts to curb speculative lending and Goldman Sachs Group Inc. said a cash squeeze is hurting growth.

China Minsheng Banking Corp. and Ping An Bank Co. plunged 10 percent, while a gauge of financial companies tumbled 7.6 percent for the biggest loss among industry groups after the People’s Bank of China said there’s a reasonable amount of liquidity in the financial system and urged banks to control risks from credit expansion. China Vanke Co. led declines for developers with an 8.8 percent slump. Jiangxi Copper Co. slid the most since 2010 as Goldman Sachs and China International Capital Corp. cut their 2013 China economic growth forecasts.