CSI 300 Index fell 3.3%, its worst drop in a year, as the Iran war hit sentiment, pushing market breadth and momentum to extreme levels. Decliners outnumber gainers by over 1,100 stocks, while the Shanghai Composite Index RSI dropped to 23, signaling oversold conditions. You Lanqiang, a fund manager at Pingtan Strategic Asset Management, said losses were driven by momentum traders and the selloff may offer a buying opportunity. Earnings forecasts remain firm and dividend yields rose to 2.7%.