Mainland stocks dip on overheating fears

Chinese stocks tumbled 4.8% on Thursday as the latest macroeconomic figures released showed the signs of economy overheating, Xinhua reported (in Chinese). The Shanghai Composite Index closed at 5,562.39 points, down 280.72 points from Wednesday. The Shenzhen Component Index ended at 18,175.31 points, down 3.13%. The CPI figures prompted concern over further interest rate hikes, which in turn led to the slump, said Qiu Yanying, an analyst with Shanghai Tianxiang Investment Consulting. PetroChina's impending sale of 4 billion shares in its A-share IPO will also increase capital pressure over the market, said Qiu.