Global market: Chinese stocks sink to one-month lows as Middle East tensions trigger a broad selloff

Chinese stocks sank to one-month lows as renewed US-Iran military tensions and a threatened Strait of Hormuz closure triggered a broad selloff across Asian markets. The Shanghai Composite declined 1.5% to 3,934.74 while the CSI300 slipped 1.3%, with defence, rare earth, and satellite stocks leading the losses, falling up to 5.6%. Investors rotated into defensive sectors like banking, energy, and consumer staples, while the Hang Seng edged 0.1% lower amid cautious sentiment ahead of key Chinese trade and GDP data.