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China's blue-chips fall as Evergrande woes weigh on property, financials - Reuters

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SHANGHAI, Sept 14 (Reuters) - Chinese blue-chips fell on Monday, dragged by real estate and financials after the country’s most-indebted developer warned of a risk of a cross-default.

The CSI300 index fell 0.3% to 4,975.68 at the end of the morning session, while the Shanghai Composite Index was unchanged at 3,715.12.

The Hang Seng index dropped 0.1% to 25,789.55. The Hong Kong China Enterprises Index lost 0.4% to 9,202.87.

** The real estate sub-index dropped 1.9%, after cash-strapped China Evergrande Group warned on Tuesday of a risk of cross-default as property sales continued to plunge.

** The financials sub-index went down 1.3%, while the infrastructure sub-index fell 2%.

** A sub-index tracking new energy vehicles surged 4.8% before slipping 0.8% in previous session.

** China said on Monday the government will encourage consolidation of the overcrowded electric vehicle industry, while would also improve its charging network and develop EV sales in rural markets.

** The new energy sub-index was up 2.5%.

** In Hong Kong, the healthcare sub-index and the energy sub-index gained 2.1% and 1.4%, respectively.

** PetroChina Co extended its gains from the previous session and jumped 5.3% to be the biggest daily gainer on the Hang Seng Index as oil prices remained strong.

** China Evergrande Group plunged nearly 10% to its lowest in more than six years.

** China Evergrande New Energy Vehicle Group and Evergrande Property Services Group tumbled 22.7% and 8.3%, respectively.

Reporting by Shanghai Newsroom; editing by Uttaresh.V

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