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China stocks fell on S&P warning

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decline_6 December 6, 2011 (Chinavestor) China stocks declined in Asia this morning as fears what damage an S&P downgrade of European debt might do to the world economy. The Hang Seng Index (INDEXHANGSENG:.HSI) declined 237.5 points or 1.3% while the Shanghai Composite Index (SHA:000001) shed 73 points or 0.3%.

 

The decline was universal in Hong Kong where stocks that declined outnumbered those that advanced eight to one among 42 components of the Hang Seng Index (INDEXHANGSENG:.HSI). Even more, all but one component of the Xinhua 25 China Index fell, highlighting the loss of credibility in the short run.

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