Asian financial markets rebounded as China’s stocks continued to slide in early trading on Tuesday. The Shanghai Composite Index dropped 5 percent, just a day after it suffered its biggest loss in eight years and triggered worldwide market turmoil.
The country’s smaller Shenzhen Composite Index also fell more than 6 percent in early trading on Tuesday while markets in Hong Kong, Japan and Australia all rebounded.
Fears of a Chinese economic slowdown led the Shanghai Composite index to dive 8.5 percent on Monday, causing heavy losses and erasing a combined $5 trillion from global equity markets in the turmoil. Read more.