SHANGHAI, July 26 (Reuters) - A searing sell-off in
education companies walloped Chinese shares on Monday after
Beijing barred for-profit tutoring in core school subjects and
restricted foreign investment in the sector.
In early trade , China's blue-chip CSI300 index
was down 1.42%, the Shanghai Composite Index fell 1.02%
and the Hang Seng index slipped 2.03%.
Sub-indexes tracking education and related sectors declined
sharply. The CSI Education Index was last down 7.6%
and the Hang Seng Tech index slumped 3.73%.
China's announcement on Friday it is banning for-profit
tutoring in core school subjects to ease financial pressures on
families sent shockwaves through its vast private education
Hong Kong shares of New Oriental Education & Technology
Group Inc crashed 35.76% after its U.S. shares
plummeted more than 50% on Friday. The company provides tutoring
and test preparation services in China.
(Reporting by Andrew Galbraith
Editing by Shri Navaratnam)