China Sees "Ugly" Bourse Resumption After Retaliating Against U.S. Tariffs

Chinese investors are bracing for a grim Monday as the nation’s stock markets reopen after an extended holiday, during which China retaliated against U.S. tariffs, Bloomberg News reported.

A similar drop in domestic stocks could push several major Chinese indexes into technical correction territory or even close to a bear market.

A gauge of Chinese stocks listed in the U.S. dropped 8.9% on Friday—the largest single-day decline since October 2022—amid global market turbulence following Beijing's announcement of a 34% tariff on all imports from the U.S.

A similar drop in domestic stocks could push several major Chinese indexes—such as the Hang Seng China Enterprises Index, one of this year’s top global performers—into technical correction territory or even close to a bear market.