The People's Bank of China (the central bank) said in a statement on its website on Friday that a commercial bank should limit interbank borrowing to less than one-third of its liabilities, while its lending to a single other financial organization shouldn't exceed 50 percent of its Tier 1 capital.

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Tier 1 Capital is a term used to describe the capital adequacy of a bank. Tier 1 capital is also known as core capital, which includes equity capital and disclosed reserves.

UBS AG analysts wrote in a note that the new interbank rules may lead to turbulence in the near term, Bloomberg News reported.

The analysts urged caution on shares of Minsheng Bank, Bank of Chongqing Co and Chongqing Rural Commercial Bank.

The market was also unsettled by data released over the weekend by the National Bureau of Statistics indicating that property prices are softening further.

Among 70 medium-sized to large cities surveyed by the NBS, only 44 recorded month-on-month price increases for new housing in April, down from 56 cities in March.

Eight cities had lower prices in April, compared with just four in March.

Analysts said the property figures add to concerns the economic slowdown is deepening, while the authorities' tightening of the interbank market will add more pressure to the sector.