CSI 300 Enters Bear Market as Asia Stocks Tumble, Oil Surges — SkimNews
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- CSI 300 entered bear market territory after sliding 2%, pushing its decline from June's peak to 20%, as Chinese tech shares traded in Hong Kong posted their worst session since President Donald Trump's April 2025 "Liberation Day" tariff announcement
- Hong Kong's tech benchmark has fallen more than 40% from its peak, almost fully erasing gains from Beijing's Sept. 24 stimulus package, with forward valuations compressed to roughly 13 times earnings
- Regional benchmarks followed China's lead: Japan's Nikkei 225 fell around 3%, South Korea's Kospi dropped 3.5%, Taiwan's benchmark lost 2%, and Hong Kong's Hang Seng declined 3%
- Bitcoin retreated toward $82,000 while gold and silver declined, and the Cboe Volatility Index jumped 10% to around 18 — roughly 30% above September's low
- Brent crude climbed above $112 a barrel to its highest level since May, with WTI topping $100, compounding selling pressure even as the 10-year Treasury yield eased to around 5.077%
- Mixed Q3 US earnings added uncertainty around artificial intelligence investment, contributing to the broader risk-off mood that hit both Asian and crypto markets
Why it matters: A 20% drop in the CSI 300 from June's peak effectively wipes out the rally that followed Beijing's September 24 stimulus package, with Hong Kong tech down 40% from highs and valuations compressed to 13x forward earnings. The simultaneous surge in Brent above $112 and the 10% VIX jump point to a broad risk-off rotation hitting AI-exposed and emerging-market assets together, not a China-only story.
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