Chinese stocks underperformed the rally that occurred while they were closed for a week, as investors counting on Beijing to produce more stimulus were underwhelmed.
A key gauge in Hong Kong plunged the most in 16 years and European futures declined. The benchmark CSI 300 opened up 11% then pared gains to 2% after widely anticipated stimulus measures were absent from a press conference in Beijing.
The index recouped a bit after. A gauge of Chinese stocks in Hong Kong tumbled the most intraday since 2008 as some investors took profit and rotated to mainland shares.
China stocks turnover surged to a record 2.6 trillion yuan ($368 billion). Broader Asian equities dropped after Wall Street was dragged down by a tech selloff, geopolitical angst and bets on a smaller Federal Reserve rate cut.
MSCI’s Asia-Pacific share gauge dropped the most in two months, the Treasury curve steepened and oil fell.
