Economics
China Stocks Enter Correction as BlackRock Sees Bubble Bursting
Customers look at a monitor displaying stock prices at a China Construction Bank Corp. branch.
Lam Yik Fei/BloombergThis article is for subscribers only.
Chinese stocks tumbled, capping their worst week since the global financial crisis in 2008, amid mounting concern that the nation’s longest bull market has propelled valuations to unsustainable levels.
The Shanghai Composite Index sank 6.4 percent to 4,478.36 at the close on Friday. The gauge lost 13 percent this week, entering a correction after falling more than 10 percent from its June 12 high. About 400 Shanghai shares fell by the daily limit as a gauge of volatility jumped to the highest since 2009.