The Shanghai Composite Index, which tracks the bigger of China's stock exchanges, fell 16.01, or 0.6 percent, to 2,855.69 as of 10:30 a.m. local time. The CSI 300 Index dropped 0.6 percent to 3,175.50.
Commodity producers: Jiangxi Copper Co. (600362 CH), the top producer of the metal, fell 2.4 percent to 34.13 yuan. Aluminum Corp. of China (601600 CH) dropped 1.8 percent to 10.17 yuan.
The Shanghai Futures Exchange will increase the proportion of cash that traders must deposit with brokerages on copper, aluminum, steel wire, gold and fuel oil transactions to 10 percent of the total value after the market closes on Nov. 29, and raise the limit on daily changes in prices to 6 percent starting on Nov. 30, the bourse said in a statement.
Banks: Agricultural Bank of China Ltd. (601288 CH) lost 0.8 percent to 2.62 yuan after the Economic Observer said regulators are assessing data from lenders to finalize new supervisory requirements. Industrial & Commercial Bank of China Ltd. (601398 CH) fell 0.7 percent to 4.29 yuan.
The banking regulator will require lenders to maintain a minimum overall capital adequacy ratio of 8 percent, plus 2.5 percent of surplus capital and another countercyclical buffer of up to 2.5 percent, the Economic Observer report said.
JPMorgan analysts including Samuel Chen downgraded Agricultural Bank, Bank of China Ltd. and Bank of Communications Co. to "neutral" from "overweight."
Huadian Power International Corp. (600027 CH) rose 2.6 percent to 3.96 yuan, set for the highest close since Nov. 11. The electricity producer agreed to buy the rights to mine coal at two pits in China for 704.5 million yuan ($106 million), according to a statement to the stock exchange on Friday.
Henan Shuanghui Investment & Development Co. (000895 CH), a food producer, rose 7.8 percent to 54.43 yuan, set for its highest close since March 1. The company's management offered to buy out the company for 56 yuan a share. The stock resumed trading today after being suspended on March 22.
Anhui Gujing Distillery Co. (000596 CH) rose 6.3 percent to 87.70 yuan, set the highest close since its listing in October 1996. The company plans to raise as much as 1.3 billion yuan from a private placement of as many as 20 million shares, according to a statement from the Chinese liquor maker to Shenzhen's stock exchange.
