China stocks have worst day in a month

SHANGHAI, Rabi’I 17, 1437, December 28, 2015, SPA — China stocks tumbled more than 2 percent on Monday, their biggest loss in a month, as weak industrial profit data and a looming revamp of how companies will be listed, weighed on the market, Reuters reported.

Sentiment was also soured at the start of a holiday-shortened trading week by a slump in so-called B shares – stocks traded in Shanghai and Shenzhen but denominated in hard currencies.

The blue-chip CSI300 index tanked 2.9 percent, to 3,727.63, while the Shanghai Composite Index lost 2.6 percent, to 3,533.78 points. It was their biggest one-day percentage fall since Nov 27.

Investors are concerned about the impact of imminent changes to the system for initial public offerings (IPOs), which could see China moving from an approval-based system, toward a U.S.-style registration-system, potentially boosting share supply.

In a major step toward reform, China’s top legislature on Sunday approved a proposal to reform the IPO system, authorising the government to kick-off the changes as early as March.
11:41 LOCAL TIME 08:41 GMT