Editorial Summary

The Shanghai Composite Index fell 3.43% to close at 2,779.448, while the Shenzhen Composite Index dropped 3.22% to close at 843.23 on Tuesday. Trading volume on the Shanghai and Shenzhen Stock Exchanges reached RMB 75.183 billion and RMB 40.509 billion, respectively.

Shares of Vanke (00002.SZ, 200002.SZ), Yihua Real Estate (000150.SZ), China Merchants Property Development (000024.SZ), Poly Real Estate Group (600048.SH) and COFCO Property (000031.SZ) dropped 7.17%, 7.85%, 9.41%, 10.0% and 10.02%, respectively, to close at RMB 8.8, RMB 5.75, RMB 15.31, RMB 15.12 and RMB 11.22 on Tuesday. Shanghai Securities News is reporting that a portion of Shenzhen-based real estate companies have shut down temporarily due to the continued decline in real estate prices. Real estate prices in Shenzhen are currently 36% lower than those recorded last October, according Shenzhen Real Estate Research Center statistics.

Guangdong-based electronics maker Elecpro plans to list in Shenzhen under the ticker "002260" on July 16, reports New Express. Elecpro intends to issue up to 30 million shares at RMB 6.66 per share, said the report. Minsheng Securities is underwriting the deal.