Mainland markets extend losses before new round of IPOs starts

Stock markets on the Chinese mainland extended their losses for a second day on Tuesday as investors await the start of a new round of IPOs later this week.

The Shanghai Composite Index on Tuesday fell by 0.99 percent or 22.17 points to 2,207.11 points. The Shenzhen Component Index plunged by 1.52 percent or 120.83 points to 7,813.98 points.

Combined turnover on the two bourses on Tuesday was 297.44 billion yuan ($48.34 billion), slightly down from the previous trading day's 300.63 billion yuan.

Tuesday's decline came as investors keep their eyes on this year's third round of IPOs set to start later this week.

Among a total of 11 companies that were approved for IPOs last week, eight companies will begin taking subscriptions on Thursday and two on Friday.

Stocks linked to home appliance, telecommunications, real estate, nonferrous, auto and pharmaceutical companies weighed down on the stock markets on Tuesday.

Media stocks retreated from the previous trading day's gain. Beijing Gehua CATV Network Co dropped by 5.38 percent to 11.44 yuan and Great Wall Movie and Television Co shed 5.16 percent to 20.03 yuan on Tuesday.

Meanwhile, financial stocks, which dragged down the markets on Monday, saw a mild recovery on Tuesday.

Banks gained by 0.28 percent and insurers inched up by 0.16 percent.

ChiNext, China's NASDAQ-style board for high-tech and start-ups listed in Shenzhen, saw a big decline of 2.26 percent or 32.66 points to 1,411.15 points on Tuesday.

ChiNext-listed Zhenjiang Dongfang Electric Heating Technology Co tumbled 7.45 percent to 19.00 yuan and Huayi Brothers Media Corp dropped by 2.89 percent to 22.82 yuan on Tuesday.