Markets slump following 2 days of gains
24 September 2008
The benchmark Shanghai Composite Index (SCI) fell by 1.6% to 2,201.51 on Tuesday after climbing about 18% in its first two sessions after Beijing announced measures to support flagging bourses last week, the Wall Street Journal reported. The government last week enacted measures to shore up economic growth and boost markets, including the elimination of a tax on stock purchases. But the moves may not have succeeded in restoring investor confidence in a market that is off 57% this year, the paper said. Many investors seem content to sit on paper losses rather than sell their shares. Postings on blogs and online bulletin boards scanned by the paper voiced concern over everything from the uncertain global economy to a weakened Chinese property market, with some investors calling for more government support.