Chinese stocks continue slide following historic sell-off

July 28, 2015 (LBO) – China’s main stock index, Shanghai Composite continued its slide and fell by 4.3 percent to 3,567.38 points in early trade Tuesday, foreign media reports said. China has tried to calm investors by reassuring them it would implement prudent monetary policy to stabilise markets with the country's central bank injecting 8.05 billion US dollars into the money markets.
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They also insisted that the country's main economic indicators were steadily improving.
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Meanwhile, the regulating authority China Securities Finance Corporation (CSFC) also said there would be a crackdown on short selling. "Any malicious trading will be investigated and severely punished," the media reported the CSFC as sayng in a statement. But analysts are hesitant to take much confidence from those measures. The index dropped eight percent on Monday, the biggest dip in a eight years. The dramatic drop on Monday, though, had followed weak economic data on profit at Chinese industrial firms and a disappointing private factory sector survey on Friday.
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