China’s main stock index entered bear-market territory Monday as a surprise interest-rate cut over the weekend failed to lift the market amid concerns over investors’ debt levels, while uncertainty about Greece shook sentiment elsewhere in the region.

The Shanghai Composite Index closed down 3.3% after a day of choppy trading in which the market shifted regularly from positive to negative territory. The index is 22% lower than a high on June 12, crossing a 20% threshold that defines a bear market. The smaller Shenzhen market ended down 6.1% and the ChiNext board, which consists of small-cap companies and is sometimes known as China’s Nasdaq, ended the day down 7.9%.

In Hong Kong, the Hang Seng Index fell 2.6%, its biggest one-day loss in over a year, while offshore listings of Chinese companies, known as H-shares, sank 3%.

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