Asian Stocks Lower on Weaker Chinese PMI

Most Asian markets were trading lower on Monday after data showed that manufacturing growth in the region’s leader China slowed in November.

China’s official purchasing managers’ index (PMI) dipped to 50.3 in November from October’s 50.8, closer to the 50 point mark that separates growth from contraction.

Analysts had expected a figure of 50.6.

In Greater China, Hong Kong’s Hang Seng index fell 620 points, or 2.6%, to 23,367.45.

The Shanghai Composite closed down 2.68 points at 2,680.16.

On Monday, the government published draft rules for a bank deposit insurance scheme. The rules were the latest in a series of moves to help liberalise China’s banking system and interest rates in order to allow banks to compete on a commercial basis.

Shares in China’s Everbright Bank rose as much as 9% before closing up 3.2%.

via BBC

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza