China stocks closed lower on Thursday as investors feared the U.S. government's decision to sign a bill backing protesters in Hong Kong could derail an interim trade deal between Washington and Beijing.

The blue-chip CSI300 index ended 0.3% lower at 3,862.30, while the Shanghai Composite Index closed down 0.5% at 2,889.69

China warned the United States on Thursday that it would take “firm counter measures” after Trump on Wednesday signed into law congressional legislation, which supported the Hong Kong protesters. It brings fresh uncertainty to the trade talks aimed at scaling down the damaging tariff war.

Source : Reuters