China Foreign Currency Shares Plunge in Sudden Afternoon Selloff
- B-share index falls as much as 6.7%, most since January
- Investors are ‘deeply concerned’ about falling yuan, Pang says
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China’s foreign currency shares plunged the most since January in late trading, sending traders scrambling for reasons to explain the sudden volatility in a largely moribund market.
The Shanghai B-share index of dollar-denominated stocks tumbled as much as 6.7 percent, with virtually all the losses coming in the last 90 minutes of trading, before closing down 6.2 percent. Kama Co. and Shanghai Lingyun Industries Development Co. were among companies falling by the 10 percent daily limit. A gauge of 10-day volatility on the 52-member index jumped to its highest level in six months, after falling in September to its lowest in at least a decade.