Asian shares begin 2019 on the back foot after dismal Chinese numbers
Equities fall on the first trading day of the new year as more disappointing economic data from China darkens the mood
Sydney — Asian shares turned tail on the first trading day of the new year as more disappointing economic data from China darkened the mood and erased early gains in US stock futures. MSCI’s broadest index of Asia-Pacific shares outside Japan skidded 1.1% as a private survey showed China manufacturing activity contracted for the first time in 19 months. The Caixin/Markit manufacturing purchasing managers index (PMI) for December fell to 49.7, from 50.2 in November, and followed a raft of soft trade data from the Asian region. The Shanghai blue-chip index quickly shed 1% and South Korea fell 0.8%. Japan’s Nikkei was closed for a holiday. E-mini futures for the S&P 500 lost their early gains to be down 0.2%. The Australian dollar, often used as a proxy for China sentiment, lost 0.5% to its lowest since February 2016 at $0.7017. The safe-haven yen extended its broad rally as the dollar dropped to ¥109.53, near its lowest since June 2018. The dollar was otherwise mixed, edging up a litt...
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