Global Market: China stocks face steep weekly losses as CXMT IPO sparks liquidity crunch fears

China and Hong Kong stocks faced heavy selling pressure, with the CSI300 Index falling 2.5% and the Hang Seng dropping 2% in their worst week since late December 2024. AI and semiconductor indices declined around 6%, as concerns over the $8.6 billion CXMT IPO draining liquidity from secondary markets triggered profit booking. Renewed geopolitical tensions linked to the Iran conflict added to investor caution, despite state media efforts to reassure markets.