Chinese stocks saw the worst start of the year since 2019 as trader’s spree on taking profit from profitable positions held in 2021.
CSI 300 index closed down by 0.5% on Tuesday which marked the weakest opening session in three years and lead by declines in renewable energy and healthcare firms.
The Shenzen stock exchange finished 2.2% lower on Tuesday which was highly dragged down by battery maker Contemporary Amperex Technology Co.’s 3.3% drop.
The renewables energy stock saw selloff as Beijing said it would terminate the government’s subsidy policy for new energy vehicle purchases from 2023. Investor mood also turned cautious after China’s central bank cut its net supply of funds to markets by the most in three months, a disappointment for investors hoping for more monetary easing.
