Chinese shares fell again Tuesday as worries about slowing economic growth hurt energy and industrial metals, while expectations of a rate cut boosted real estate stocks and lower oil prices helped airlienes.

The benchmark Shanghai Composite Index shed 15.9 points, or 0.73 percent, to close at 2,157.84. The Shenzhen Composite Index for China's smaller second market dropped 0.81 percent to close at 586.11.

The Shanghai index plunged 4.6 percent in early trading following Wall Street's overnight drop but recovered after Australia's central bank announced a major interest rate cut.

Analysts have cut forecasts of Chinese growth due to weaker global demand for exports, though the economy still is expected to expand by at least 9 percent this year. A slowdown in the country's real estate market is expected to cut demand for building materials such as steel.

Aluminum Corp. of China, or Chalco, the country's biggest aluminum maker, tumbled 3.37 percent to 8.32 yuan on its forecast of profits decline in the third quarter. Coal miner China Shenhua Energy Ltd. lost 6.25 percent to 23.11 yuan. Baoshan Iron & Steel Corp. slipped 3.32 percent to 6.41 yuan.

Real estate shares rose on Chinese news reports that Beijing will cut interest rates.

China Vanke Ltd., the country's biggest developer, leapt 4.78 percent to 6.57 yuan, while rival Poly Real Estate Group posted a 6.15 percent gain to 15.30 yuan.

"Even if it's true, the positive effect is limited and not likely to last long. The Chinese real estate market is not really short of capital but demand," said by Mao Sheng, an analyst for Huaxi Securities.

Airlines rose as oil dipped below US$90 a barrel in New York trading, which will cut carriers' operating costs.

China Eastern Airlines Corp. soared 6.42 percent to 4.64 yuan. China Southern Airlines Ltd. added 6.23 percent to 3.92 yuan. Air China Ltd. advanced 3.39 percent to 6.10 yuan.

In currency markets, China's yuan strengthened to 6.8294 to the U.S. dollar in over-the-counter trading, up from Monday's close of 6.8430.