Shanghai stocks threaten to breach August summer rout low; Hong Kong slides

jueves 14 de enero de 2016 00:28 GYT

* CSI300 -0.6 pct; SSEC -1.1 pct; HSI -1.6 pct

* SSEC almost breaches low hit during the summer crisis

* Fresh regulator statements fail to ease market panic

SHANGHAI, Jan 14 (Reuters) - China stocks skidded on Thursday, with the Shanghai index looking set to test lows hit during last summer's crash as fresh market-friendly rhetoric from the government failed to calm panicking investors.

China's blue-chip CSI300 index fell 0.6 percent to 3,136.67 points by lunch time, while the Shanghai Composite Index lost 1.1 percent to 2,917.52.

Hong Kong's benchmark Hang Seng index index hit fresh 2-1/2 lows, pounded by the losses in mainland China and an overnight sell-off on Wall Street on fears of slowing global growth.

The SSEC fell as much as 2.8 percent at one point, to merely 17 points above its 2,850.71 August low, which is seen by many investors as a key psychological support level.

If that level is breached, SSEC would witness lows not seen since Dec 2014.

"Defending that psychological support level is difficult, and meaningless," said Zhou Lin, analyst at Huaitai Securities. "Investors see no good reason to buy stocks now - the yuan is depreciating, the U.S. is raising rates, and the economy is deteriorating."   Continuación...