China markets fell on Monday after President Xi Jinping further consolidated his grip on power by dedicating the party’s most powerful decision-making body to key allies and securing a third term. Hong Kong’s benchmark Hang Seng Index fell 6.4% to 15,180 points, the second lowest level since the 2008 financial crisis. Tencent and Mituan were among the most affected. Meanwhile, the Chinese economy is showing signs of recovery, but the long-term growth outlook remains murky.
Chinese markets falter in the wake of the Communist Party’s National Congress
