REFILE-China stocks fall as investors cool on blue chips, margin trading, Hong Kong also down
(Corrects spelling of analyst's name and capitilization of firm's name in second paragraph)
* CSI300 index falls 0.7 percent
* Blue chips financials biggest drag on index
* Appetite for margin financing cools amid regulatory inspections
By Jake Spring
BEIJING, Dec 15 (Reuters) - China stocks fell on Monday as retail investors stopped ploughing money into blue chips and backed off from margin trading, two major factors behind a huge market rally in recent weeks.
"The aggressive stocks and margin financing actually go together, it's margin financing's facilitator," said Cao Xuefeng, head of research at Huaxi Securities.
"Previously, many people used financing to buy into shares that went soaring. After sufficient losses, there might be much room to fall."
Blue-chip financials, which have led the bull market for mainland stocks, led declines as investors sold off Industrial and Commercial Bank of China, Agricultural Bank of China and Bank of China. Continuación...