China Stock Rout Continues: Worst Week In 5 Years For Shanghai Index

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Mainland China stocks slumped again on Friday, with the Shanghai Composite having its worst week in five years, while the CSI 300 index slumped to a five-year low.

Shares listed on Hong Kong’s blue-chip index fared a little better, but were still down on the week, with the Hang Seng falling 2.6% over the five trading sessions.

But mainland indexes fell more precipitously. The Shenzhen Composite fell 8.1% over the week to a five-year low, while the Shanghai Composite slid 6.2% to a four-year low.

The iShares MSCI China ETF (NASDAQ:MCHI), an exchange-traded fund that tracks the performance of China’s top stocks, fell 5.5% over the week.

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China Economic Challenges

Mohamed El-Erian, chief economic adviser at Allianz, said

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