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BEIJING/SHANGHAI: Chinese shares fell on Wednesday to their lowest close in three months as risk appetite soured on concerns of policy tightening and escalating tensions between China and major western economies.

At the close, The blue-chip CSI300 index was down 1.61% at 4,928.69, the lowest close since Dec. 11, while the Shanghai Composite index fell 1.3% to 3,367.06, the weakest close since Dec. 24.

Leading the decline, the CSI300 resource index slumped 4.2%, while the CSI300 transport index lost 4%. The financial sector sub-index was lower by 1.2%, while the real estate index fell 2.24%.

The smaller Shenzhen index ended down 1.41% and the start-up board ChiNext Composite index was weaker by 1.25%.

Chinese shares have been fluctuating at the bottom for a while due to various of external factors but a rebound should come soon as companies are to report strong first-quarter earnings, said Zhang Yanbing, an analyst with Zheshang Securities.

China’s National Health Commission said that a total of 82.85 million doses of COVID-19 vaccines had been administered, as of Tuesday. ** Around the region, MSCI’s Asia ex-Japan stock index was weaker by 1.21%, while Japan’s Nikkei index closed down 2.04%.

So far this year, the Shanghai stock index is down 3.1% and the CSI300 has fallen 5.4%, while China’s H-share index listed in Hong Kong is up 0.9%. Shanghai stocks have declined 4.05% this month.

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