SHANGHAI—China’s main stock benchmark has entered a bear market, the latest gloomy sign for the country alongside escalating trade tensions with the U.S., a tumbling currency and recent data that suggest its growth is softening.
The Shanghai Composite Index closed at 2844.51 on Tuesday, down 0.5% on the day and 20.1% below a two-year high reached on Jan. 24. A bear market is normally defined as a 20% drop from a recent high.
The latest market slide has come despite the Chinese central bank’s weekend move to encourage more bank lending by freeing up funds in the financial system. Investors now say the Chinese market slump could persist unless Beijing steps in with more supportive measures.
https://www.wsj.com/articles/shanghai-stocks-slide-into-bear-market-piling-on-the-gloom-in-china-1530011256
