A special survey revealed that Chinese factory activity contracted for the third consecutive month in October
The Caixin Manufacturing PMI for October showed that factory activity contracted for the third consecutive month.
The reading came in at 49.2, compared to expectations of a reading of 49. In September, the manufacturing PMI was at 48.1, below the 50 point mark that separates growth from contraction.
PMI readings compare activity from month to month.
Official data from the National Bureau of Statistics came in at 49.2 on Monday, missing expectations for a reading of 50.
– Abigail Ng
Hong Kong’s economy shrank 4.5% in the third quarter
Hong Kong’s GDP declined by 4.5% in the third quarter of the year compared to the same period a year ago, advance estimates From the Census and Statistics Department showed on Monday.
This is the worst contraction since the second quarter of 2020. Analysts polled by Reuters had forecast 0.7% growth, while GDP fell 1.3% in the second quarter.
“The deteriorating external environment and continued disruptions to cross-border land cargo flows dealt a serious blow to Hong Kong’s exports,” the statement said, adding that the decline in GDP was “mainly attributable to the weak performance in external demand during the quarter.”
Fixed capital formation, or investment, fell 14.3%, while exports and imports also declined.
– Abigail Ng
CNBC Pro: This Chinese electric car maker’s stock could rise more than 260%, says Citi
Citi chose a large electric car maker as one of the “best” buying ideas among Chinese stocks.
It expects shares in the automaker to rise more than 260% over the next 12 months as sales of electric vehicles soar.
– Ganesh Rao
South Korea’s trade deficit widened in October
Data from the customs agency showed that South Korea’s trade deficit widened to $6.7 billion for the month of October from a revised figure of $3.78 billion in September.
Imports rose 9.9% to $59.18 billion compared to the same period last year, while exports declined 5.7% to $52.48 billion.
The latest data shows the largest drop in exports since August 2020, according to FactSet.
– Jie Lee
CNBC Pro: Did you forget about Tesla? Citi and HSBC name alternatives to electric car boom
Tesla may be the preferred investor for exposure to the electric car industry, but Citi and HSBC have identified two alternatives to play to the growing demand for electric cars.
Professional subscribers can Read more here.
– Xavier Ong
The ministry says Japan spent $42.7 billion to support the yen
Hang Seng loses more than 14% in October
Mainland China and Hong Kong markets underperformed their Asia Pacific counterparts in October.
The Hang Seng The index stumbled at its lowest level since April 2009 after losing 14.55% to Monday’s close.
Meanwhile, shares in Australia, Japan and South Korea posted single-digit gains to close out the first month of the fourth quarter, while the Shanghai Composite fell 4.33%.
Japanese stocks closed at their highest levels since September 20, but the major APAC indexes have been under water since the start of the year.
– Abigail Ng