By Susan Mathew
Aug 17 (Reuters) – More regulation from Beijing and a general risk-off mood amid fears over slowing economic growth saw emerging markets stocks suffer a 1.2% decline to hit three-week lows.
Mainland China stocks lost 2% and Hong Kong shares extended losses to a fourth straight session after Chinese regulators on Tuesday issued a lengthy set of draft regulations for the internet sector, banning unfair competition and restricting the use of user data.
This followed a series of crackdowns that so far have hit the technology, education property and insurance sectors.
Internet giant Alibaba and Tencent lost more than 4% each, while Netease eased 5.4%.
An index of EM tech shares slid to three-month lows, down 0.9%
The broader EM equities index extended losses to a fifth straight session as economic growth worries were exacerbated by dismal factory output and retail sales data from China, a major trading partner for most EM economies.