Skip to Content

China’s stock market just had its worst monthly drop in 6 years

FUYANG, CHINA - JUNE 26:(CHINA OUT) An investor observes stock market at a stock exchange hall on June 26, 2015 in Fuyang, Anhui province of China. Chinese stocks dropped sharply on Friday. The benchmark Shanghai Composite Index lost 334.91 points, or 7.40 percent, to close at 4192.87 points. The Shenzhen Component Index shed 1293.66 points, or 8.24 percent, to 14398.78 points. (Photo by ChinaFotoPress)***_***FUYANG, CHINA - JUNE 26:(CHINA OUT) An investor observes stock market at a stock exchange hall on June 26, 2015 in Fuyang, Anhui province of China. Chinese stocks dropped sharply on Friday. The benchmark Shanghai Composite Index lost 334.91 points, or 7.40 percent, to close at 4192.87 points. The Shenzhen Component Index shed 1293.66 points, or 8.24 percent, to 14398.78 points. (Photo by ChinaFotoPress)***_***

China’s stock market fell again on Friday, with The Shanghai Composite Index slipping 1.1% to close at 3,663.73, according to a report in Bloomberg News.

The loss brings to an end the worst month for stocks in China since August of 2009, when China was still reeling from a global financial panic and recession that caused massive losses in financial markets around the world.

For the month of July, the Shanghai Composite Index fell a total of 15%, despite unprecedented state intervention aimed at calming markets. According to Bloomberg, the losses on Friday started “after Reuters reported that Chinese regulators had asked financial institutions in Singapore and Hong Kong for stock-trading records as part of efforts to track down investors betting against shares in China.”

Chinese regulators also halted trading in 505 companies on the Shanghai and Shenzhen exchanges on Friday, equivalent to 18% of all listings.