China’s Stocks Enter Bear Market as Rate Cut Fails to Stop Rout

Chinese stocks tumbled, sending the benchmark index into a bear market, as signs of an exodus by leveraged investors overshadowed the central bank’s effort to revive confidence with an interest-rate cut.

The Shanghai Composite Index dropped 3.3 percent to 4,053.03 at the close, taking declines from its June 12 peak to more than 20 percent. The gauge swung between a loss of 7.6 percent and a gain of 2.5 percent in Monday trading, recording the biggest intraday point move since 1992. A measure of technology stocks sank 7.3 percent to lead declines among industry groups.