CHINA’S main stock market indices ended a volatile Friday just about where they started it after the previous day’s sharp sell-off that led many to believe the red-hot bull market has paused for a correction.

    After a rough start in which the Shanghai Composite Index briefly slid more than 4 percent, key indices recovered to bounce in and out of positive territory, and they ended Friday mixed.

    The Shanghai Composite Index finished down 0.18 percent, following massive selling Thursday. Its 6.50 percent drop Thursday was its second-worst daily performance this year. The CSI300 index of the largest listed companies in Shanghai and Shenzhen rose 0.14 percent, while the Shenzhen Composite Index closed up 1.32 percent. Shenzhen’s startup board ChiNext, which fell 4.8 percent Thursday, rebounded 3.2 percent Friday.

    The sharp drop Thursday has cast doubt on the sustainability of the more than twofold increase in Chinese markets over the past year. It has also given ammunition to naysayers who for months have pointed to a widening gap between stock prices and economic reality.

    “Retail investors are getting nervous” after Thursday’s drop, said Gerry Alfonso, director of trading at Shenwan Hongyuan Securities.

    The stock market volatility highlights the challenges the government faces in trying to manage China’s financial markets. Stimulus measures and the expectation of further measures have stoked a run-up in stocks, but China’s leaders hope to see slow but steady gains in the market, described as “slow bull, not a mad cow” by domestic media. (SD-Agencies)