Chinese stocks volatile a day after sharp sell-off

Specialist Jarret Johnson, foreground, works on the floor of the New York Stock Exchange, Thursday, Jan. 7, 2016. US stocks are opening sharply lower as worries intensify about China’s economy and dropping oil prices. AP

HONG KONG — Chinese stocks are volatile Friday a day after rattling global markets with a 7 percent plunge and trading suspension.

The Shanghai Composite Index gained about 3 percent when it opened but quickly surrendered those gains to be down 1 percent at 3,096.82.

READ: Stocks slump on China risks

Chinese stocks have had a boom and bust ride over the past year. Authorities introduced circuit-breaker mechanisms on Jan. 1 that halt trading in attempt to reduce the volatility, but the move appears to have backfired.

On Thursday evening, regulators announced they were suspending the circuit breakers that kick in when the market falls more than 5 percent.

Among other Asian markets, Hong Kong’s Hang Seng was up 1 percent and Japan’s Nikkei 225 rose 0.4 percent.

READ: Chinese stock markets suspended for day after shares fall 7%