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Plunge in China’s Markets Intensifies as Yuan Hits One-Year Low

  • Stocks, currency and bonds are on track for weekly declines
  • Slowing growth and corporate crackdowns have hurt sentiment
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WATCH+ Banny Lam, Head of Research at CEB International Investment Corporation, discusses his China markets outlook amid inflationary pressures.Source+ Bloomberg
Updated on

It’s been a painful week for traders of China’s stocks, bonds and currency as growing fears about the fallout from the nation’s Covid Zero strategy send markets tumbling.

The Hang Seng China Enterprises Index of big mainland companies listed in Hong Kong is among the worst-performing stock benchmarks globally this week. The offshore yuan extended declines, hitting the weakest level in a year. High-yield dollar bonds are headed for the longest stretch of weekly losses since March.