Markets had been unnerved by worries about the trade war between the United States and China. Markets were hit with further turbulence after protesters managed to close down Hong Kong's airport on Monday.
In mainland China, shares slipped on the day. The Shanghai composite slipped 0.63% to 2,797.26, while the Shenzhen component declined 0.85% to 8,902.63. The Shenzhen composite shed 0.687% to 1,498.63.
The People's Bank of China guided the yuan lower for a ninth straight session, at 7.0326 to one US dollar. The currency was flat in onshore trading while inching higher in the offshore market, where the yuan moves more freely.
Most stocks fell, with losers outnumbering gainers by 1,043 to 380 on the Shanghai bourse and 1,549 to 546 in Shenzhen. Companies in the sectors of gold and airport were among the biggest gainers, with Shenyang Cuihua Gold and Silver Jewelry Co., Ltd. seeing its share price rise by the daily 10% limit to 10.23 yuan a share. Shares related to mobile payment, electronic sports, titanium dioxide, and securities concept led the losses.
Beijing’s use of the term terrorism as Chinese government statement Monday saying the mostly nonviolent Hong Kong protests “show the sprouts of terrorism” and were an “existential threat” to the population. triggered new turmoil in global markets.