Asia: Stocks decline on weak data and commodity prices
Asian stocks started the week in the red following negative data from China.
Banks
4,008.17
16:59 23/04/24
BHP Billiton Ltd.
$45.50
08:31 23/04/24
FTSE 100
8,044.81
16:49 23/04/24
FTSE 350
4,424.29
16:59 23/04/24
FTSE All-Share
4,378.75
17:14 23/04/24
HSBC Holdings
667.70p
16:39 23/04/24
Nikkei 225
37,552.16
09:44 23/04/24
The Shanghai Composite Index fell 1.11% and Hong Kong's Hang Seng was down 0.91%.
China's manufacturing purchasing managers (PMI) index declined in July to 47.8 from 48.2 one month earlier, adding to concerns of a deepening slowdown. However, analysts said the data will lead to fresh stimulus measures from the government.
Capital Economics said the reading was dragged down by bad weather and more downbeat business sentiment, but expects policy support will "ensure that real economic activity holds up over the coming months".
In company news. PetroChina was down 4.6% following declines during the last four weeks.
On a brighter note, HSBC gained 1.87% in Hong Kong after announcing its first-half profits rose 10% to $13.6bn despite being hit by $1.5bn in fines and penalties.
HSBC group chairman Douglas Flint said equity volumes in Hong Kong and China expanded markedly and the Shanghai-Hong Kong stock connect system surpassed all expectations, boosting wealth management revenues in Asia.
The Nikkei 225 also lost 0.18%, being hurt by a slowdown in manufacturing data. Nomura's manufacturing PMI fell to 51.2 points in July from 51.4 in June.
The disappointing data triggered a decline in construction stocks, with Hitachi Construction Machinery down 2.08%.
Japanese stocks were also hit by weakness in the oil markets, with Brent crude down 2.18% in Asian trading. Elsewhere, the yen was fetching ¥124.16 against the dollar.
Elsewhere in Australia, the ASX index declined 0.35% hurt by weak commodity prices.
The decline was despite encouraging macro data. Manufacturing activity published by AiG returned to expansion in July to 50.4 from 44.2 in June.
Job advertisements rose 2.2% in July from 1.2% and new home sales returned to positive territory rising 0.5% from a decline of 2.35% one month earlier.
In the corporate world, Anglo-American miner BHP Billiton fell 2.49% as the decline in oil reserves hurt its total production.