SHANGHAI, Sept 24 — China’s stocks fell after Goldman Sachs Group Inc cut its forecast for China’s economic growth and a logistics company said its unit defaulted.

Wanhua Chemical Group Co paced declines by industrial companies. Goldman Sachs reduced its 2015 target to 7.1 per cent from 7.6 per cent, while keeping this year’s estimate unchanged at 7.3 per cent. Anhui Wanjiang Logistics Group Co said its unit had debts of 2.1 billion yuan (RM1.09 billion) of debts due. Shares in the company are suspended.

The Shanghai Composite Index lost 0.1 per cent to 2,306.94 at 9:45am, while the Hang Seng China Enterprises Index climbed 0.3 per cent from a two-month low. Recent data in the world’s second-largest economy have been mixed, with an unexpected increase in a manufacturing gauge yesterday coming after foreign direct investment fell to a four-month low and home prices dropped in all but two cities the government tracks.

The Hang Seng Index added 0.2 per cent, led by a 1.5 per cent advance by China Mobile Ltd.

The Shanghai Composite has gained 9 per cent this year and trades at 8.4 times projected 12-months earnings, while the Hang Seng China Enterprises has declined 2 per cent and is valued at 6.7 times. The Hang Seng China AH Premium index climbed to 96.81 yesterday, its highest level since May 13, signalling a narrowing gap between dual-listed stocks.

Finance Minister Lou Jiwei said on September 21 the government won’t make major policy adjustments in response to changes in individual indicators, damping speculation of broad-based stimulus. The economy is stable and job creation has been sound, he said.

Alibaba Group Holding Ltd slid for a second day yesterday, while the Bloomberg index of the most-actively traded Chinese companies in the US lost 0.1 per cent to a two-month low. — Bloomberg