China stocks fall as short-selling fears offset impact from big reserve cut

April 20, 2015 7:27 AM

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SHANGHAI, April 20 (Reuters) - China stocks surrendered early gains and dived on Monday in volatile trade as fears of a regulatory crackdown offset the central bank's boldest policy move yet to bolster the slowing economy.

Securities regulators announced on Friday they would allow fund managers to lend shares for short-selling, and ban margin financing through unregulated accounts.

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