Overseas Trading: Traders Put Positive Spin on Weak Chinese Data

China's manufacturing data topped expectations, but remained considerably weak

by Elizabeth Harrow

Published on Oct 1, 2015 at 8:26 AM
Updated on Oct 1, 2015 at 8:27 AM

Stocks in Asia started October with a bang, despite continued softness in Chinese manufacturing activity. Beijing's official manufacturing purchasing managers index (PMI) topped expectations -- but at 49.8, confirmed an ongoing contraction in the factory sector. Likewise, the final September Caixin/Markit PMI edged up to 47.2 from the preliminary reading of 47.0, but still represents a six-year low for the metric. The double dose of weak data didn't exactly come as a shock, though, and helped to stoke optimism for further easing from mainland policymakers.

Over in Japan, a cooling yen helped exporters gain ground, with Sony catching an extra boost from a new Goldman Sachs "buy" rating. Meanwhile, a smaller-than-forecast drop in exports helped Seoul-listed stocks elbow higher. By the close, Japan's Nikkei jumped 1.9%, while South Korea's Kospi added 0.8%. Markets in China and Hong Kong are closed for holiday.

European benchmarks are mostly higher, with traders taking their lead from a solid session in Asia and Wall Street's positive Wednesday finish. At midday, London's FTSE 100 is up 0.8%, the French CAC 40 is 0.2% higher, and Germany's DAX has dipped just 0.3%.

1001 overseas markets

A Schaeffer's exclusive!

The Expert's Guide

Access your FREE trading earning announcements before it's too late!



NEW! Explore Schaeffer’s Partners' deals and get connected to top online brokerages with deals tailored exclusively for our readers.  Get answers to your questions regarding transfer fees, commission rates, programs and available discounts related to online trading services.

MORE | MARKETstories

Look Who's Going Bankrupt Next in America
Porter Stansberry is making a concerning prediction.
CE Stock Heading into Bullish Month
Celanese stock is coming off a free fall from its all-time-high in late 2019
HD Stock Sinks on Bear Notes, In-Store Changes
Home Depot stock received price target cuts after sharing in-store changes
Look Who's Going Bankrupt Next in America
Porter Stansberry is making a concerning prediction.