Investing.com – Asian stock markets edged lower on Thursday, after data showed that manufacturing activity in China fell to a 28-month low in July, while shares in exporters led losses in Japan.
During late Asian trade, Hong Kong's Hang Seng Index shed 0.1%, South Korea’s Kospi Composite slumped 0.45%, while Japan’s Nikkei 225 Index eased down 0.02%.
The Markit/HSBC Chinese manufacturing purchasing managers’ index fell to a 28-month low of 48.9 in July, indicating activity was now beginning to contract in the world’s second largest economy.
Following the report, shares in the financial sector were lower with Agricultural Bank of China dropping 1.5%, Bank of China down 1.15%, while insurance provider Ping An slumped 1.1%.
China’s largest offshore oil driller CNOOC saw shares tumble 3.9%, extending losses from the previous session when it announced an acquisition of oil-sands firm OPTI Canada.
In Japan, exporters came under pressure after government data showed that exports declined by 1.6% in June. Honda saw shares fall 1%, consumer electronics giant Sony slumped 0.9%, while shares in rival TDK Corporation retreated 2.1%.
Heavy-machinery maker Komatsu, which receives most of its revenue from China, saw shares decline 1.1%.
On the upside, Japan’s largest retailer Fast Retailing saw shares gain 2.85% after Nomura Holdings upgraded the stock and lifted its earnings forecasts for the firm to reflect potentially lower cotton prices.
The outlook for European stock markets was modestly upbeat ahead of a summit meeting of euro zone leaders later in the day.
The EURO STOXX 50 futures pointed to a gain of 0.45%, France’s CAC 40 futures edged 0.4% higher, the FTSE 100 futures added 0.25%, while Germany's DAX futures advanced 0.3%.
Later in the day, the U.S. was to release a weekly government report on initial jobless claims, as well as a report on manufacturing activity.
During late Asian trade, Hong Kong's Hang Seng Index shed 0.1%, South Korea’s Kospi Composite slumped 0.45%, while Japan’s Nikkei 225 Index eased down 0.02%.
The Markit/HSBC Chinese manufacturing purchasing managers’ index fell to a 28-month low of 48.9 in July, indicating activity was now beginning to contract in the world’s second largest economy.
Following the report, shares in the financial sector were lower with Agricultural Bank of China dropping 1.5%, Bank of China down 1.15%, while insurance provider Ping An slumped 1.1%.
China’s largest offshore oil driller CNOOC saw shares tumble 3.9%, extending losses from the previous session when it announced an acquisition of oil-sands firm OPTI Canada.
In Japan, exporters came under pressure after government data showed that exports declined by 1.6% in June. Honda saw shares fall 1%, consumer electronics giant Sony slumped 0.9%, while shares in rival TDK Corporation retreated 2.1%.
Heavy-machinery maker Komatsu, which receives most of its revenue from China, saw shares decline 1.1%.
On the upside, Japan’s largest retailer Fast Retailing saw shares gain 2.85% after Nomura Holdings upgraded the stock and lifted its earnings forecasts for the firm to reflect potentially lower cotton prices.
The outlook for European stock markets was modestly upbeat ahead of a summit meeting of euro zone leaders later in the day.
The EURO STOXX 50 futures pointed to a gain of 0.45%, France’s CAC 40 futures edged 0.4% higher, the FTSE 100 futures added 0.25%, while Germany's DAX futures advanced 0.3%.
Later in the day, the U.S. was to release a weekly government report on initial jobless claims, as well as a report on manufacturing activity.