China rings in 2016 with a stock market crash

Note* - All images used are for editorial and illustrative purposes only and may not originate from the original news provider or associated company.

Subscribe

- Never miss a story with notifications

- Gain full access to our premium content

- Browse free from any location or device.

Media Packs

Expand Your Reach With Our Customized Solutions Empowering Your Campaigns To Maximize Your Reach & Drive Real Results!

– Access the Media Pack Now

– Book a Conference Call

– Leave Message for Us to Get Back

Related stories

Apple Invests $500mn in MP Materials to expand U.S. supply

In a recent move, technology giant Apple Invests $500mn...

Egypt and Saudi Arabia Exploring Mining Cooperation Options

The Egyptian minister of petroleum and mineral resources, Karem...

Steel Tariffs To Protect Domestic Steel Industry In Canada

Prime Minister Mark Carney of Canada on July 16,...

New Mining Law in Egypt to Shift EMRA Into Economic Entity

A new amendment to the mineral resources law in...

Global stock markets fell Monday as worries over China’s economy and instability in the Middle East combined to scare investors.

Chinese bourses tumbled 6.9% in their opening session of 2016, its biggest decline on record for the first trading day of the year, forcing exchanges to halt trade for the first time.

This so called “circuit breaker” mechanism, which halts trade for 15 minutes if the CSI300 index falls or rises 5% in a day, then suspends trade for the day if it continues to fall or rise to 7%, is a new measure that came into effect Monday and was put to test immediately.

Early losses quickly snowballed in the afternoon, with trading suspended around 5.30am GMT, about 90 minutes before the regular close.

The slide in Chinese stocks and the Yuan’s accelerated depreciation drove markets elsewhere in the region deep into the red.

Japan’s Nikkei Stock Average fell 3.1%, Hong Kong’s Hang Seng Index fell 2.7% and South Korea’s Kospi lost 2.2%.

Australia’s S&P/ASX 200 fell 0.5%, with losses offset by gains in oil.

Adding to the turmoil, Saudi Arabia and Bahrain cut ties with Iran, sending Gulf stocks lower and pushing Brent crude higher.

Looking for safe havens, investors rushed to precious metals. February gold was last up $19.90 an ounce at $1,080.00.

Base metals did not do that well — copper prices fell 1.3% to $4628 a metric ton in London.

Most diversified miners saw their shares drop. BHP Billiton (ASX:BHP) closed slightly down in Sydney to A$17.8, Rio Tinto (LON:RIO) was down almost 4% in late trading in London, Anglo American
(LON:AAL) was tumbling more than 7%, and Glencore’s (LON:GLEN) stock was trading 5.7% lower.

Today’s collapse was the worst percentage decline for China since Aug. 24, the height of its summer crash, when the country’s main index plummeted 8.5% adding to a 20% crash in just four days.

Latest stories

Related stories

Apple Invests $500mn in MP Materials to expand U.S. supply

In a recent move, technology giant Apple Invests $500mn...

Egypt and Saudi Arabia Exploring Mining Cooperation Options

The Egyptian minister of petroleum and mineral resources, Karem...

Steel Tariffs To Protect Domestic Steel Industry In Canada

Prime Minister Mark Carney of Canada on July 16,...

New Mining Law in Egypt to Shift EMRA Into Economic Entity

A new amendment to the mineral resources law in...

Subscribe

- Never miss a story with notifications

- Gain full access to our premium content

- Browse free from any location or device.

Media Packs

Expand Your Reach With Our Customized Solutions Empowering Your Campaigns To Maximize Your Reach & Drive Real Results!

– Access the Media Pack Now

– Book a Conference Call

– Leave Message for Us to Get Back