Business

China markets see a volatile day of trade on Monday

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Image caption Mainland China's stock markets reopened after a four-day weekend

China's markets were volatile for much of Monday as mainland stock exchanges reopened following a four-day weekend.

The Shanghai Composite traded erratically, but closed down by 2.5% to 3,080.42 points.

The market volatility in China came as the country's National Bureau of Statistics revised its annual economic growth rate for 2014 to 7.3%, down from 7.4%.

Hong Kong's benchmark Hang Seng index closed down 1.2% to 20,583.52.

Mainland shares have fallen 40% since mid-June when the sell-off began, while Chinese regulators continue to take more steps to stabilise erratic trading.

China's central bank governor, Zhou Xiochuan, told financial leaders at the G20 summit over the weekend that the markets had almost completed their correction after a steep rise in the first half of the year.

"The stock market adjustment is already roughly in place and financial markets can be expected to be more stable," Mr Zhou said in a statement from Turkey.

Elsewhere in Asia

Other Asian markets were mixed on Monday despite stocks in the US, which headed lower on Friday after US jobs figures were released.

Friday's much-anticipated jobs figures showed unemployment fell to 5.1% last month, the lowest since April 2008.

The jobs report is the last before the US Federal Reserve meets later this month to decide whether to increase interest rates.

Japan's benchmark Nikkei opened lower on Monday, down 0.65%, but finished the day closing up 0.38% at 17,860.47.

Economist Angus Nicholson from IG Markets said in a note that there were two main factors driving Asian trading on Monday, "the delayed response to Friday's non-farm payrolls number out of the US and the reopening of the Chinese stocks markets after a four-day break".

"Both of these factors are likely to spur further selling in Asian markets today, with the outcome of the [mainland] Chinese market reopening being the greater cause for concern," he added.

In Australia the S&P/ASX 200 closed down 0.2% at 5,030.40, while South Korea's Kospi benchmark index closed down 0.15% at 1,883.22 points, after closing down 1.5% on Friday.

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