SHANGHAI: Chinese stocks closed lower on Monday as investors were disappointed by a meeting between the leaders of the world’s two largest economies, with data showing prolonged weakness in the property sector also hurting sentiment.

The blue-chip CSI 300 Index closed down 1%, while the Shanghai Composite Index fell 0.7%.

Hong Kong’s Hang Seng Index and the Hang Seng China Enterprises Index both lost 1.4%.

US President Joe Biden and Chinese leader Xi Jinping agreed on Wednesday to open a presidential hotline, resume military-to-military communications and curb fentanyl production.

Xi also told Biden that Taiwan was the biggest, most dangerous issue in US-China ties, a senior US official told reporters, while Biden responded by assuring Xi that Washington was determined to maintain peace in the region.

“Market was disappointed by the talks, there is nothing beating expectations,” said a fund manager at a private fund, who declined to be named due to the sensitivity of the topic.

China’s new home prices fell for the fourth month in October, official data showed, as government support measures did little to lift the gloom hanging over the debt-laden property sector.

Data released on Wednesday also showed a sharp drop in property investments, while industrial output and retail sales continued to recover.

“China’s economic growth momentum remained largely flat in October from the previous month,” said Gavekal Dragonomics analysts. “The stabilisation is still fragile and there are significant risks ahead.” Property developers fell 0.8%, while new energy companies slumped 2.4%, and semiconductor firms lost 1.8%. Tech giants listed in Hong Kong slumped 1.9%.