Asian shares were mostly under water on Friday after a sudden slump on Wall Street spilled over globally, though a surprisingly strong pick up in manufacturing helped Chinese markets hold at seven-month highs.
In a promising omen for world growth China’s official measure of industrial activity (PMI) rose to 51.7 in July from 51.0 in June, beating forecasts of 51.4 and the highest in 27 months. The recovery was also broad based with 10 out of the 13 sub-indices pointing to improvement from the previous month.
The survey added to evidence that Beijing’s stimulus efforts were gaining traction, and followed news that growth in the United States had rebounded from a winter lull. All of which helped China’s stock markets top up the week’s hefty gains. The CSI300 of leading Shanghai and Shenzhen A-share listings rose 0.8 percent, having surged in recent sessions to reach its highest so far this year.