Asian Stocks Trade in a Mix Session as Manufacturing Activity in China Slowdown
Stocks traded in Asia traded in a mixed session after China reported a slower-than-expected manufacturing activity in July.
Stocks in Asia traded in a mixed session on Monday as China reported slower growth in July’s manufacturing activity.
As of 9:27 local time in Thailand, Nikkei rose 1.60%, ASX 200 increased 1.38%, SSEC fell 0.82%, HSI 0.72%, and Kospi slipped 0.08%.
Last Friday, Thailand SET Index closed at 1,521.92 points, decreased 15.86 points or 1.03% with a trading value of 87.7 billion baht.
This morning, the Caixin/Markit manufacturing Purchasing Managers’ Index for July came in at 50.3, which was much lower than Reuters poll’s expectations of 51.1.
Meanwhile, China’s official manufacturing PMI released over the weekend also reported a slower growth in July’s factory activity growth with the data coming in at 50.4, compared to a reading of 50.9 in June.
Krungsri Securities expected SET Index in today’s session to move in a range of 1,510-1,530 points, as the Center for COVID-19 Situation Administration (CCSA) extended the lockdown measure for another month and increased restriction area to 29 provinces after the infection rate of Covid-19 in Thailand maintained at a higher level, resulting in a negative sentiment to the economic outlook and a fund outflow from foreign investors.
The securities company expected a buying pressure in stocks with unique factors such as stocks related to exports and those with good 2Q21 earnings potential.