China plunges towards bear market territory as stocks tumble 8%

China's Shanghai Composite index is on the verge of bear market territory after falling more than 8% in overnight trading.

The index’s intra-day moves have been extremely volatile in recent days, but an 8% fall overnight confirms a downward trend which has seen stocks move sharply lower since their near-term peak on 12 June. The tumble sent the index as low as 4,140 - almost 20% below the 5,122 mark reached earlier this month. A mild recovery followed just prior to the close, but the Shanghai index remained 7.5% lower at 4,186 as the week's trading came to an end. Investors poured £3bn into China in week before May plunge Meanwhile, the tech-focused Shenzhen Composite entered a bear market of its...