China Hushen 300 index futures dive on Monday

China's Hushen 300 index futures fell by the daily limits of 10 percent on Monday, with the contract for September, the most actively traded, down 10 percent to close at 3,132.2 points.

The October contract also lost 10 percent to close at 3,132.2 points. The December contract shed 10 percent to close at 3,007 points. The March 2016 contract lost 9.99 percent to 2,962.8 points.

The stock-index contracts, agreements to buy or sell the Hushen 300 Index at a preset value on an agreed date, are designed to allow investors to bet on and profit from either gains or declines in the market.

The index futures was launched at the China Financial Futures Exchange (CFFEX) and started trading from April 16, 2010. The CFFEX has set the base value for all the four contracts at 3,399 points.