China stocks fall on concerns over growth, new share sale

Mainland China share market ended lower on Friday, 06 February 2015, as risk aversion selloff amidst deepening concerns over domestic economic slowdown and on worries a raft of new initial public offerings (IPOs) due next week will hurt market liquidity. The Shanghai Composite Index closed 1.93% down at 3075.91, taking this week's loss to 4.2%.

Shares in the Mainland market trapped under selling pressure since morning amid deepening concern over economic slowdown. Sentiment also fell after state media reports on Thursday that the central bank's recent RRR cut won't mark the start of an aggressive easing stance. Further, supply pressure from a batch of initial public offerings slated for next week and stubbornly high short-term interest rates in the money market also weakened investors' appetite. A total of 24 companies will begin selling shares starting Feb. 9, locking up 2.05 trillion yuan ($328 billion).

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