SHANGHAI (AFP) - Chinese shares were down 0.97 per cent in morning trade on Monday after authorities indicated at the weekend that initial public offerings for companies could resume soon, dealers said.

The benchmark Shanghai Composite Index fell 21.55 points to 2,198.95.

Chinese authorities maintain significant control over the economy and have suspended IPOs for more than a year, but the country's stock regulator on Saturday published guidelines to overhaul its current listing mechanism, adding IPOs could be resumed in January.