Chinese stocks continued their decline on Monday, with the Shanghai Composite dropping 0.16% to finish at 3,386 and the Shenzhen Component falling 1.3% to 10,573.
China stocks tumble amid mixed economic data
Investors responded to a mixed set of economic data from China. While retail sales growth slowed more than expected in November, industrial production exceeded forecasts. However, new home prices in China fell for the 17th month in a row, highlighting ongoing difficulties in the property market. On a more positive note, a People's Bank of China official suggested over the weekend that the central bank plans to reduce interest rates and reserve requirements next year.
Focus on PBoC
Investors are now focusing on the PBoC's upcoming loan prime rate decisions later this week. Among the day's biggest losers were key companies such as East Money (-2.5%), Guangdong Advance (-5.2%), and Tianyu Digital (-8.5%).
