Asia stocks were mostly negative Thursday, weighed by losses in mainland China.
In Tokyo, the Nikkei 225 index plummeted 228.45 points, or 1.1%, to 19,990.28, its 10th loss in 13 days, and its lowest level since May 18.
Disappointment had set in over the U.S. central bank’s dovish stance on raising interest rates and jitters over a possible Greek debt default.
In Hong Kong, the Hang Seng Index dumped 59.13 points, or 0.2%, to 26,694.66.
The offshore market had yo-yoed after lawmakers voted down a reform proposal on how Hong Kong citizens choose their chief executive, the city’s top political seat, in 2017.
Australian markets gave back more than 1%, dragged down by financials and mining stocks.
CHINA
China’s stock market slid Thursday, with highflying startup stocks suffering one of their worst days on record and analysts turning increasingly wary of what they see as a bubble in the country’s equities.
The Shanghai CSI 300 dropped 208.28 points, or 4.1%, to 4,930.55
Analysts said there were no fresh headlines contributing to the losses Thursday, although an increasing number of reports have warned that China’s domestic market is a bubble waiting to burst. Before the afternoon selloff, Credit Suisse warned that this would probably happen before the end of the year.
Morgan Stanley downgraded Chinese stocks from an overweight to equal weight position last month, while Bank of Communications has been warning that China’s market is a bubble since January.
Some analysts are on alert for further stimulus from the Chinese government to prop up domestic sentiment.
In other markets
In Korea, the Kospi index gained 7.02 points, or 0.3%, to 2,041.88
In Taiwan, the Taiex picked up 28.54 points, or 0.3%, to 9,218.37
In Singapore, the Straits Times Index settled 25.49 points, or 0.8%, to 3,300.42
The NZX 50 fell 29.56 points, or 0.5%, to 5,749.71
The ASX 200 Index doffed 70.54 points, or 1.3%, to 5,524.89
