--FILE--Pedestrians walk past a branch of China Merchants Bank (CMB) in Qingdao, east Chinas Shandong province, 7 August 2013.
JPMorgan Chase & Co. has lowered its stake in China Merchants Bank (CMB) in the latest sell-off of Chinese banks amid worries over deteriorating bank assets in a slowing economy. JPMorgan reduced its long position in the H shares of the bank from 8.29 percent to 7.79 percent last week by unloading 23million shares at HK$ 15.06 per share on average, the Hong Kong Stock Exchanges disclosure of interests information showed Monday. The disposal came days following a research report by the investment bank suggesting investors sell medium-sized Chinese banks and accumulate large state-owned ones, including Industrial and Commercial Bank of China and China Construction Bank. JPMorgan said structural improvements or loosening monetary policies are needed for Chinese banks shares to keep the upward trend which it believed would be hard because neither of the two factors exists.