Stocks fall on liquidity talk

Concerns grow over Federal Reserve's next move on interest rates

Chinese stocks fell on Thursday on concerns that the central bank would tighten liquidity and on hints that the US Federal Reserve will hike US interest rates soon.

The Shanghai Composite Index closed the day with a 0.57 percent drop to 3,068.3 points. During the intraday trading, it tumbled 1.43 percent. A gauge of real estate companies slumped 1.56 percent, led by Yinyi Real Estate Co Ltd and Vanfund Urban Investment & Development Co Ltd.