Asia: Stocks mixed after Chinese PMIs
Updated : 10:02
Asian stocks were mixed on Monday after the release of Chinese manufacturing data.
HSBC’s Chinese manufacturing purchasing managers’ index (PMI) was confirmed at 50.4 in October, as expected. A reading above 50 signals expansion.
However, the official government manufacturing PMI unexpectedly declined from 51.1 to a five-month low of 50.8. China’s official non-manufacturing PMI also fell to 53.8 in October from 54 a month earlier.
The world’s second-largest economy grew 7.3% in the third quarter, the weakest pace in more than five years.
“Although the PMIs diverged in October, the breakdown of both is consistent with cooling domestic demand and a further slowdown in growth going into the fourth quarter,” said Capital Economics.
Hong Kong’s Hang Seng index fell 0.34% while the Shanghai composite rose 0.41%.
Japan’s Nikkei 225 gained 4.83%, as the yen weakened to help exporters.
Japanese shares jumped last week after the Bank of Japan unexpectedly boosted stimulus.
In company news, Fraser & Neave declined after a court ruled that its Myanmar partner has the right to buy its stake in a joint-venture brewery.
Hyundai Motor Co. dropped as one of its biggest investors pushed the automaker to improve corporate governance after a real estate purchase for three times the property’s assessed value prompted a retreat in the stock.