AFTER Monday's spectacular rebound, China's A shares closed marginally lower yesterday on profit-taking with turnover reaching a record 7.32 billion yuan (about HK$6.55 billion). Shanghai's A shares lost 14.28 points, or 3.19 per cent, to finish on 433.42 points, while Shenzhen's A shares shed 2.24 points, or 1.75 per cent, to end at 125.80 points. ''The fall is unavoidable, because the market was overdone on Monday. With the effects of the rescue plan gradually being digested, people began to be more pragmatic,'' said a broker at Shanghai Shenyin Securities. On Monday, Shanghai's A index surged by 36.14 per cent and Shenzhen 34.42 per cent, recouping most of the losses in the previous months. But the rally was still not enough to push the market back to its euphoria of two years ago. A shares are traded by mainlanders while B shares are reserved for foreigners. ''Investors have realised that the measures are like 'post-dated cheques', but they're glad that the government has made the commitment at that time,'' he said. A broker with another Shanghai brokerage agreed. ''Allowing foreign investors access to the domestic A share market is a direction rather than a step to be taken next.'' ''The time is not right to introduce foreign funds to the domestic stock market,'' he said, adding that the yuan's convertibility was the prime concern. New listings scheduled for this year were effectively halted because of the six-month coaching period Beijing had imposed on listing candidates, he said. Added to the impracticability of the measures, the broker said, was that China had suffered from a credit squeeze, so it might not be feasible to provide institutions with credit to set up funds for investing in the stock market. Shanghai yesterday recorded a hefty turnover of 5.3 billion yuan and Shenzhen's rose to 2.018 billion yuan. The combined turnover of 7.32 billion yuan was a record high since late 1992, according to Credit Lyonnais Securities. Brokers expected the market to adjust downwards in the coming days, but they said a plunge would be unlikely, given that the stocks had fallen to a rather low level, carrying a much higher investment value. A Shenzhen broker said: ''There is no fundamental change in China's political and economic picture. ''Monday's rally was caused through excitement at the government's determination to revive the market. ''The market outlook will hinge on factors affecting money supply and the government's ability to curb inflation,'' he said. ''The People's Bank of China will host a national meeting on Sunday to discuss financial policies for the rest of the year. This, surely, will have a profound effect on the stock market,'' he said.