SHANGHAI, Aug 22 (Reuters) - China stocks wobbled on Tuesday, hovering around nine-month lows amid investor concerns of China's growth, as they demanded more concrete stimulus to boost the economy.
** China's blue-chip CSI 300 Index dropped 0.3% by the midday recess, while the Shanghai Composite Index lost 0.2%.
** Hong Kong's Hang Seng Index edged up 0.2% and the Hang Seng China Enterprises Index added 0.1%.
** Both the CSI and Hang Seng benchmarks had dropped to their lowest levels since late November 2022, erasing all gains accumulated after China's reopening from COVID curbs.
** Foreign investors sold Chinese shares via the Stock Connect for the 12th session in a row, selling a net 4.3 billion yuan ($590.04 million) so far on Tuesday.
** China's weakening yuan found some support from smoothing operations by domestic state banks and the central bank but stayed unsteady as rising U.S. yields put downward pressure on the yen and other global currencies.
** "There is certainly a lack of confidence in China's policies and outlook," said Lorraine Tan, director of equity research, Asia, at Morningstar.
** The weak sentiment comes as China's economic activity slowed in recent months after a reopening boost, while the authorities' pledges to aid recovery have so far fallen short of market expectations, including a smaller-than-expected cut in a key lending benchmark on Monday.
** In mainland markets, shares in tourism and new energy were down more than 2% each to lead the decline, while telecom operators climbed 2.3%.
** Zhang Chi, chief strategist at Sinolink Securities, said sentiment is over-pessimistic and stocks are oversold. As the Shanghai Composite Index dropped below 3,100-point, it's a perfect time to buy, he said.
** In Hong Kong, tech giants rose 0.4% and mainland Chinese property developers lost 0.8%. ($1 = 7.2877 Chinese yuan) (Reporting by Shanghai Newsroom; Editing by Sohini Goswami)
