Asian Stocks Sinks Lower On Weaker Chinese Econ Data

Asian stocks fell, with the regional benchmark gauge extending its steepest monthly slump since May, after a slowdown in Chinese manufacturing growth added to concern a global economic recovery is faltering.

The MSCI Asia Pacific Index lost 0.5 percent to 134.18 at 9:01 a.m. in Tokyo, heading for the lowest close since Sept. 6. The measure dropped 4.6 percent in January for its third straight monthly decline. A global rout wiped about $1.9 trillion from the value of listed equities last month, spurred by weaker-than-expected economic data from China and a sell-off in emerging-market currencies.

“The real questions are how much damage has been done and are equity markets still vulnerable,” Stewart Richardson, who helps oversee about $100 million as chief investment officer at RMG Wealth Management LLP in London, said in an e-mail. Investors had “certainly believed that the Chinese economic slowdown was not of any concern. We still believe that the big picture risk-reward is skewed very much to the downside.”

Bloomberg

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Mingze Wu

Mingze Wu

Currency Analyst at Market Pulse
Based in Singapore, Mingze Wu focuses on trading strategies and technical and fundamental analysis of major currency pairs. He has extensive trading experience across different asset classes and is well-versed in global market fundamentals. In addition to contributing articles to MarketPulseFX, Mingze centers on forex and macro-economic trends impacting the Asia Pacific region.
Mingze Wu