Chinese Stocks Slump Amid Signs National Team Is Pulling Back

  • Selloff worsens as Third Plenum ends with no major stimulus
  • CSI 300 rose last week amid signs of national team support
Pudong's Lujiazui Financial District in Shanghai.Photographer: Qilai Shen/Bloomberg
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Chinese stocks suffered their biggest decline in six months as a lack of major policy support following the Third Plenum reinforced bearish sentiment.

The onshore benchmark CSI 300 Index closed 2.1% lower, following a 0.7% drop in the previous session. The declines have now erased gains seen last week, when signs of purchasesBloomberg Terminal by the “national team” of state funds amid the twice-a-decade political gathering propped up equity gauges.