China's regulators took a rare step on Friday to calm investors amid the steepest decline since the IPO in 2015, when data showed that the Chinese economy has been slowest in nearly a decade over the past three months  Concerns over global growth and mounting geopolitical tensions have flattened global stock markets in recent weeks, particularly affecting technology stocks and Chinese stocks.
Asian stocks eased on Friday following the decline in US equities on Thursday, the S & P 500 closed 1.4 percent and technology-heavy Nasdaq lost more than 2 percent last week following the turmoil on global equity markets.
China reported third-quarter GDP growth of 6.5 percent over the previous year on Friday, slightly below analyst expectations of 6.6 percent. Asian markets have opened and the CSI 300 index of Shanghai and Shenzhen listed companies fell 1
"Chinese GDP was lower than expected, and the market was slightly disappointed," said Marcella Chow, global market strategist at JPMorgan Asset Management. "But there were sound bits from three Chinese regulators who offer comfort … the market has improved slightly thereafter."
China's stock markets have suffered a sharp decline this year against a backdrop of US trade tensions and weak economic data , The CSI 300 has lost almost 30 percent since its peak this year in January.
In a rare step, Chinese central bank, banking and insurance regulators and securities regulators told state media that economic momentum may be slowing down, however, that they implemented measures to help markets.
Guo Shuqing, chairman of the China Banking and Insurance Supervisory Authority, told the state media that "There are significant fluctuations in the Chinese financial market due to various factors … The market has not come into contact with the fundamentals of the Chinese economy. It also does not reflect the health of the Chinese financial system. "
Yi Gang, governor of the People's Bank of China, told local media that the central bank will continue to implement a neutral monetary policy and ensure that the banking system has sufficient liquidity ,
"It is not common for regulators to speak this way, but today China has released its GDP figures and they did not live up to expectations," said Jackit Wong, market researcher at MUFG.
The sell off on China's stock markets increased in June as US trade tightened. The drastic slump is the worst decline since China suffered a dramatic defeat in the summer of 2015, causing half of the listed companies to cease trading.
"Chinese politicians face a difficult task – pumping liquidity into the system for limited dividends and growing long-term imbalances, or accepting much slower growth and focusing on debt reduction," said Sue Trinh, Asia strategy director at RBC.
China's central bank announced a few weeks ago that it would provide more money to the banking system to support economic growth by reducing the reserves required by domestic banks.
The country's currency also came under pressure and the renminbi weakened against the dollar, as it did a decade ago.
Additional coverage by Archie Zhang