CHINA STOCKS ENTER BEAR MARKET AS AI ENTHUSIASM FADES , GROWTH CONCERNS MOUNT

What happened: China's stock market entered bear-market territory as AI-driven optimism faded and concerns over valuations, consumer demand and economic momentum mounted. Key numbers: The CSI 300 Index fell as much as 1.6 per cent on Thursday, extending its decline from the June peak to nearly 20 per cent. Why it matters: Investors are now focused on corporate earnings, valuations and actual returns from AI investments, with analysts noting a prolonged downturn could challenge Chinese technology firms that rely on capital markets to fund expansion.

China's stock market entered bear-market territory as AI-driven optimism faded and concerns over valuations, consumer demand and economic momentum mounted.

Investors are now focused on corporate earnings, valuations and actual returns from AI investments, with analysts noting a prolonged downturn could challenge Chinese technology firms that rely on capital markets to fund expansion.