China's Stocks Lurch Lower as Weakening Currency Adds to Risks
- Benchmark index on brink of bear market after almost 20% drop
- Central bank’s RRR cut seen as too little to boost growth
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Chinese stocks resumed a $1.7 trillion selloff on Monday and the currency slid to a six-month low as investors braced for the next round in a trade dispute with the U.S.
While the Shanghai Composite Index opened higher after a widely expected reserve-ratio cut by the central bank, those gains gave way to a 1.1 percent slump by the close. The yuan sank as much as 0.74 percent to 6.5433 per dollar, its lowest since Dec. 28, while the offshore exchange rate fell for an eighth day.