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China stocks drop after trade data disappoints with Hang Seng tanking 4%, CSI 300 falls over 2%

The flag (R) of the Hong Kong Exchanges and Clearing Limited (HKEX) is hoisted next to China's flag (C) in Hong Kong on August 16, 2016.

China stocks fell Tuesday even as broader Asia-Pacific markets rose following gains on Wall Street that saw the Dow Jones Industrial Average and the S&P 500 reach new record highs.

Mainland China's CSI 300 dropped 2.66% to end at 3,855.99, while Hong Kong's Hang Seng index was down about 4% by its final hour of trading.

China had posted disappointing September trade data after markets closed Monday, with exports rising 2.4% from a year ago and imports adding 0.3%, both sharply missing expectations.

Revised trade data out of South Korea showed trade surplus at $6.7 billion in September — same as preliminary data — up from $3.7 billion in August.

South Korea's Kospi rose 0.39% to end at 2,633.45, while the small-cap Kosdaq gained 0.4% to reach 773.81.

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