SHANGHAI, Jul. 8 (SMM) - China’s stocks sank further against aggressive rescue efforts. China’s A-shares fell 1.29% Tuesday. The Shenzhen Composite dropped 5.8% and Growth Enterprise Market (GEM) posted a decline of 5.69%. China’s shorts have extended to commodities markets. Iron ore futures shut strong trading limit Tuesday night, which reached daily downward limit for two trading days. Thus, nonferrous metals should remain under pressures from sell-offs.

Tuesday evening’s special Euro Summit meeting on Greek cash crisis broke down with another telephone conference planned for this evening. The European Central Bank refused to provide more emergency liquidity assistance (ELA) to Greek banks. Greece had to extend holidays for its banks, further depressing economy growth. This weekend is the last chance for Greece. Once agreement is reached, Greece will get ELA immediately.

US stocks edged up while European and Asian stocks all dropped. US dollar index finished up 0.41%. Gold and silver prices fell owing to robust dollar and soft commodities prices. LME base metals declined across the board with nickel, copper and zinc falling over 3%.