 "China home prices fall")
China's home prices slumped an annual 2.6 per cent in October, shrugging off a range of government support measures in a nationwide downturn that threatens to stifle economic growth. October's year on year price drop was the biggest since Reuters started calculating nationwide prices in 2011.
Falling prices will more than likely deter investors seeking capital gains, and most analysts now expect the housing market correction to continue in coming months as developers struggle with high inventory levels.
News of slowing foreign direct investment rubbed salt in the house price wound, with overseas investment down 1.2 percent in the January-October period from a year earlier, with the fashionable service sector attracting $53.1 billion versus the modest $32.5 billion that flowed into once-rampant manufacturing businesses.
House prices in the capital Beijing dropped 1.3 percent year on year - the first fall since October 2012.
Economists believe the cooling housing market poses the biggest risk to the world's second-largest economy, even as Beijing tries to stimulate overall growth.
Falling prices will more than likely deter investors seeking capital gains, and most analysts now expect the housing market correction to continue in coming months as developers struggle with high inventory levels.
News of slowing foreign direct investment rubbed salt in the house price wound, with overseas investment down 1.2 percent in the January-October period from a year earlier, with the fashionable service sector attracting $53.1 billion versus the modest $32.5 billion that flowed into once-rampant manufacturing businesses.
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Despite moderating FDI growth, China has repeatedly said it expects its FDI to hit a record high of $120 billion this year, barring no sharp changes in global capital flows.
House prices in the capital Beijing dropped 1.3 percent year on year - the first fall since October 2012.
Economists believe the cooling housing market poses the biggest risk to the world's second-largest economy, even as Beijing tries to stimulate overall growth.