An investigation into potential trading rule violations sent Chinese brokerage stocks sinking
Asian exchanges closed lower today, as an investigation into potential trading rule violations hit Chinese brokerage firms, with Citic Securities just one of the names to receive a formal notice from the China Securities Regulatory Commission. Meanwhile, Chinese industrial profits fell 4.6% year-over-year, and the International Air Transport Association hinted at slowing growth in China, resulting in
another down day for airlines. By the close, the Shanghai Composite fell 5.5%, while Hong Kong's Hang Seng dropped 1.9%. Japan's Nikkei dipped 0.3%, as consumer prices and household spending both declined, while South Korea's Kospi ended a wishy-washy day down 0.1%.
European markets are mostly higher at midday, shaking off a Chinese sympathy swoon. While mining stocks continue to struggle, the German DAX and France's CAC 40 are modestly higher, at last check, while London's FTSE 100 is down 0.3%.
