China's main stock indexes sink over 2%, enter correction territory

SHANGHAI (REUTERS) - China's benchmark share indexes fell on Friday, taking losses since their early-June peak to more than 10 per cent and putting the market into correction territory.

The Shanghai Composite Index and the CSI300 both slumped over 2 per cent on Friday morning as investors sold shares in panic amid fears of government crackdowns on illegal margin financing and a new wave of initial public offerings.