China stocks extended losses on Wednesday, with the benchmark Shanghai index recording its worst month since early 2016, as weak factory data rekindled worries about the country’s economic health amid fears of faster rate hikes in the United States.
For the month, Shanghai Composite Index dropped 6.4 percent, its worst monthly fall since January 2016, while CSI300 lost 5.9 percent, its biggest monthly slide since late 2016.
Growth in China’s manufacturing sector in February slowed more than expected to the weakest in over 1-1/2 years as the Lunar New Year holidays disrupted business activity and tougher pollution rules curtailed factory output.
At the close, the Shanghai Composite index was down 1 percent at 3,259.41.
The blue-chip CSI300 index was down 0.87 percent, with its financial sector sub-index lower by 1.35 percent, the consumer staples sector down 2.56 percent, the real estate index up 0.25 percent and healthcare sub-index down 0.37 percent.
The smaller Shenzhen index ended up 0.16 percent and the start-up board ChiNext Composite index was higher by 0.58 percent.