Investing.com - Asian stock markets extended losses during late Asian trade on Monday, following the release of disappointing Chinese manufacturing data.
During late Asian trade, Hong Kong's Hang Seng Index dropped 0.5%, Australia’s ASX/200 Index ended down 0.17%, while Japan’s Nikkei 225 Index closed 1.62% lower.
Midway through the session, data showed that China’s HSBC Flash Purchasing Managers Index, the earliest indicator of the country's industrial activity, fell to a three-month low of 50.5 in December from a final reading of 50.8 in November.
The disappointing manufacturing data weighed on shares in mainland China and Hong Kong, where the Hang Seng fell to a four-week low.
Shares in the financial sector were under pressure, with China Construction Bank shares dropping 1%, Industrial and Commercial Bank of China falling 1.5% and China Citic Bank declining 1.4%.
Meanwhile, in Tokyo, the Nikkei ended at the lowest level since December 6 as traders continued to monitor movements in the currency market.
USD/JPY fell to hit a daily low of 102.63, moving off the previous session’s five-year peak of 103.91. A stronger yen reduces the value of overseas income at Japanese companies when repatriated, dampening the outlook for export earnings.
Automakers Toyota, Mazda and Honda saw shares drop 1.95%, 3.05% and 2.75% respectively, while Sony and Sharp retreated 1.1% and 2.1%.
Index heavyweights Fast Retailing and Softbank saw shares retreat 1.85% and 3.15% respectively.
Elsewhere, in Australia, the ASX/200 Index held near the lowest level since late-August as losses in miners and lender weighed on the benchmark index.
The big four banks were mostly lower, with Commonwealth Bank of Australia losing 0.8%, while National Australia Bank and Westpac Banking Group declined 0.5% and 0.75%.
Australian commodity producers, which are heavily reliant on Chinese demand for raw materials, also contributed to losses, with BHP Billiton down 0.5% Rio Tinto shedding 0.3%.
Looking ahead, European stock market futures pointed to a lower open as market players prepared for this week’s Federal Reserve meeting and possible news on the fate of the central bank’s bond-buying program.
The EURO STOXX 50 futures pointed to a loss of 0.3% at the open, France’s CAC 40 futures shed 0.35%, London’s FTSE 100 futures indicated a decline of 0.4%, while Germany's DAX futures pointed to a loss of 0.2%.
The euro zone is to publish data on manufacturing and service sector activity, while Germany and France are to publish individual reports.
Across the Atlantic, U.S. equity markets also pointed to a lower open. The Dow Jones Industrial Average futures pointed to a loss of 0.3%, S&P 500 futures signaled a 0.3% drop, while the Nasdaq 100 futures indicated a decline of 0.3%.
The U.S. is to release reports on industrial production, manufacturing activity in the New York region and the balance of foreign and domestic investment in U.S. securities.
During late Asian trade, Hong Kong's Hang Seng Index dropped 0.5%, Australia’s ASX/200 Index ended down 0.17%, while Japan’s Nikkei 225 Index closed 1.62% lower.
Midway through the session, data showed that China’s HSBC Flash Purchasing Managers Index, the earliest indicator of the country's industrial activity, fell to a three-month low of 50.5 in December from a final reading of 50.8 in November.
The disappointing manufacturing data weighed on shares in mainland China and Hong Kong, where the Hang Seng fell to a four-week low.
Shares in the financial sector were under pressure, with China Construction Bank shares dropping 1%, Industrial and Commercial Bank of China falling 1.5% and China Citic Bank declining 1.4%.
Meanwhile, in Tokyo, the Nikkei ended at the lowest level since December 6 as traders continued to monitor movements in the currency market.
USD/JPY fell to hit a daily low of 102.63, moving off the previous session’s five-year peak of 103.91. A stronger yen reduces the value of overseas income at Japanese companies when repatriated, dampening the outlook for export earnings.
Automakers Toyota, Mazda and Honda saw shares drop 1.95%, 3.05% and 2.75% respectively, while Sony and Sharp retreated 1.1% and 2.1%.
Index heavyweights Fast Retailing and Softbank saw shares retreat 1.85% and 3.15% respectively.
Elsewhere, in Australia, the ASX/200 Index held near the lowest level since late-August as losses in miners and lender weighed on the benchmark index.
The big four banks were mostly lower, with Commonwealth Bank of Australia losing 0.8%, while National Australia Bank and Westpac Banking Group declined 0.5% and 0.75%.
Australian commodity producers, which are heavily reliant on Chinese demand for raw materials, also contributed to losses, with BHP Billiton down 0.5% Rio Tinto shedding 0.3%.
Looking ahead, European stock market futures pointed to a lower open as market players prepared for this week’s Federal Reserve meeting and possible news on the fate of the central bank’s bond-buying program.
The EURO STOXX 50 futures pointed to a loss of 0.3% at the open, France’s CAC 40 futures shed 0.35%, London’s FTSE 100 futures indicated a decline of 0.4%, while Germany's DAX futures pointed to a loss of 0.2%.
The euro zone is to publish data on manufacturing and service sector activity, while Germany and France are to publish individual reports.
Across the Atlantic, U.S. equity markets also pointed to a lower open. The Dow Jones Industrial Average futures pointed to a loss of 0.3%, S&P 500 futures signaled a 0.3% drop, while the Nasdaq 100 futures indicated a decline of 0.3%.
The U.S. is to release reports on industrial production, manufacturing activity in the New York region and the balance of foreign and domestic investment in U.S. securities.