The blue-chip CSI300 index fell 1.7 per cent, to 4,947.75, while the Shanghai Composite index shed 1.1 per cent to 3,412.95.
Leading the declines, the CSI300 materials index and the CSI300 transport index slumped 3.9 per cent and 4.1 per cent, respectively.
Courier giant S.F. Holding Co Ltd fell 9.4 per cent, following a 10 per cent drop on Friday after flagging losses for the first quarter.
China’s first quarter economic growth data probably would beat market expectations, which could raise worries over a quick tightening of monetary policy, Huaan Securities said in a report.
The market could also encounter challenges as much stronger-than-expected PPI could lead to marginal changes in monetary policy, the brokerage added.
Ongoing Sino-U.S. tensions also affected sentiment.
U.S. Secretary of State Antony Blinken said on Sunday the United States is concerned about China’s aggressive actions against Taiwan and warned it would be a “serious mistake” for anyone to try to change the status quo in the Western Pacific by force.
Foreign investors on Monday purchased a net 6.4 billion yuan ($976.71 million) worth of A-shares as they hunted for bargains, according to Refinitiv data.
Around the region, MSCI’s Asia ex-Japan stock index was weaker by 1.14 per cent, while Japan’s Nikkei index closed down 0.77 per cent.
At 07:06 GMT, the yuan was quoted at 6.5534 per U.S. dollar, 0.01 per cent weaker than the previous close of 6.553.
As of 07:07 GMT, China’s A-shares were trading at a premium of 33.69 per cent over the Hong Kong-listed H-shares. ($1 = 6.5526 Chinese yuan renminbi)
