China shares fall on worries about property tax and bank profits
HONG KONG, Sept 24 (Reuters) - China shares surrendered most of the previous day's gains, dragged down by banking and property counters after official media reignited fears of a nation-wide property tax and of greater competition in the future cutting bank profits.
On Tuesday, the CSI300 of the leading Shanghai and Shenzhen A-share listings finished down 1.2 percent at 2,443.9 points, while the Shanghai Composite Index shed 0.6 percent. On Monday, both posted their biggest daily gains since Sept. 9.
The official China Securities Journal said in a front-page editorial on Tuesday that financial reforms may figure prominently at a key policy meeting in November, which could involve the introduction of a deposit insurance mechanism, a move seen as a precursor to a more flexible interest rate regime that could hurt net interest margins for banks.
The same newspaper also reported that the central government is organising a new round of training in October to prepare tax officials to introduce property taxes.
(Reporting by Clement Tan; Editing by Richard Borsuk)