Asian stocks are headed for their fourth day of losses as political protests in Hong Kong show no signs of abating and US consumer confidence unexpectedly fell.
Hong Kong is facing its worst political unrest in decades
The regional benchmark MSCI Asia Pacific index is down 0.4% in Tokyo.
However, better-than-expected China manufacturing data may provide a lift after its official Purchasing Managers’ Index (PMI) held at 51.1 in September.
A reading above 50 indicates growth, while any below shows a contraction.
Markets had been expecting the PMI reading to fall to 51.0 and today’s figure should provide some relief to investors concerned about a slowdown in China.
“Today’s official PMI suggests the while conditions have held up better than many had expected, domestic demand remains subdued,” Julian Evans-Pritchard, China economist at Capital Economics said.
“The economy has held up better than the sharp slowdown in the August activity data suggested.”
Hong Kong’s Hang Seng opened 1.3% lower as tens of thousands of pro-democracy demonstrators continued to occupy the city’s main commercial areas for a sixth day.
They’re demanding that Hong Kong chief executive Leung Chun-ying respond to demands for his resignation and for free elections in the city.
The city is bracing itself for bigger protests on Wednesday, which also marks the 65th anniversary of the founding of the People’s Republic of China.
Several celebrations marking China’s National Day have been cancelled because of the protests, which saw riot police use tear gas against the crowds over the weekend.
Source: BBC