Hong Kong markets slide over 2% as investors digest private surveys on economic activity

Lim Hui Jie

This is CNBC's live blog covering Asia-Pacific markets.

A man paddles as smoke blankets the city skyline on February 2, 2021 in Perth, Australia.

Asia-Pacific markets were mixed on Monday as investors digested key economic data from across the region.

Hong Kong's Hang Seng index tumbled 2.28%, dragged mainly by real estate stocks and led losses in the region.

Mainland Chinese markets were also all lower. The Shanghai Composite was down 0.11%, ending at 3,164.16 and recording a fifth day of losses in six days, while the Shenzhen Component was 0.58% lower at 10,747.79, marking seven straight days of losses

South Korea's Kospi was up 0.72% to finish at 2,628.53 and record its third straight day of gains, while the Kosdaq saw a 0.5% loss, snapping a nine day winning streak and closing at 929.9.

In Japan, the Nikkei 225 gained 1.23% to start the week, closing at 32,700, while the Topix was also 0.83% up to end at 2,281.18. Japan's business activity expanded for a seventh straight month, with the purchasing managers index from the au Jibun bank unchanged from June's figure of 52.1.

In Australia, the S&P/ASX 200 fell marginally to finish at 7,306.4, after the country saw flash estimates for its composite PMI in July fall into contraction territory for the first time since March.

TICKERCOMPANYNAMEPRICECHANGE%CHANGE
.N225Nikkei 225 IndexNIKKEI39,910.82+744.63+1.90%
.HSIHang Seng IndexHSI16,589.44+78.00+0.47%
.AXJOS&P/ASX 200ASX 2007,745.60+46.90+0.61%
.SSECShanghaiSHANGHAI3,027.02+11.85+0.39%
.KS11KOSPI IndexKOSPI2,642.36-9.93-0.37%
.FTFCNBCACNBC 100 ASIA IDXCNBC 1009,178.58+72.89+0.80%

U.S. markets were mixed last Friday, but the Dow Jones Industrial Average climbed 0.01% to notch its tenth straight day of gains, a feat not seen for the index since August 2017. The S&P 500 added 0.03%,while the Nasdaq Composite fell 0.22%.

— CNBC's Brian Evans and Alex Harring contributed to this report

Mon, Jul 24 2023 2:45 AM EDT

Country Garden shares tumble to 8-month low on lingering debt concerns

Chinese property stocks tumbled on Monday, led by shares of Country Garden which sank to its lowest in more than eight months on renewed debt fears for Chinese real estate developers.

Hong Kong-listed shares of Country Garden was down by nearly 7%, its lowest level since early November. Its property services arm Country Garden Services plunged more than 15%.

JP Morgan downgraded both companies to underweight, and more than halved the target price of Country Garden and its property services listing. The bank's analysts also warned that unless the Chinese government offers more policy support, liquidity concerns will likely remain.

See Chart...

The Hang Seng Mainland Property Index, a gauge of Hong Kong-listed Chinese property counters, was down more than 6%, underperforming the Hang Seng Index which fell about 2.5%.

For more, please read this story.

— Clement Tan

Mon, Jul 24 2023 2:02 AM EDT

China has announced a slew of measures to bolster its economy. Here’s what we know so far

China is ramping up measures aimed at boosting its economy ahead of a key Politburo meeting this week which will review the country's first half economic performance.

In the past week, authorities have announced a series of pledges targeted at specific sectors or aimed at reassuring private and foreign investors of a more favorable investment environment — but they were largely broad measures, with some lacking concrete details.

This is what we know so far. Read more here.

— Clement Tan

Mon, Jul 24 2023 2:28 AM EDT

Singapore inflation rate slows to 4.5% in June, lowest since Feb 2022

Singapore's consumer price index recorded a 4.5% year on year increase in June, marking its slowest rate of inflation since February 2022.

This is slightly lower than the 4.55% expected by economists polled by Reuters, and also down from the 5.1% seen in May.

The core inflation rate in Singapore - which strips out prices of accommodation and private transport - also came in at 4.2%, lower than the 4.7% seen in May

— Lim Hui Jie

Mon, Jul 24 2023 2:02 AM EDT

China has announced a slew of measures to bolster its economy. Here’s what we know so far

China is ramping up measures aimed at boosting its economy ahead of a key Politburo meeting this week which will review the country's first half economic performance.

In the past week, authorities have announced a series of pledges targeted at specific sectors or aimed at reassuring private and foreign investors of a more favorable investment environment — but they were largely broad measures, with some lacking concrete details.

This is what we know so far. Read more here.

— Clement Tan

Sun, Jul 23 2023 11:56 PM EDT

Wall Street cut China’s GDP forecast many times this year. One bank adjusted 6 times

International investment firms have changed their China GDP forecasts nearly every month so far this year, with JPMorgan making six adjustments since January.

The U.S. investment bank most recently cut its China GDP forecast in July to 5%, down from 5.5% previously. That came alongside cuts this month by Citi and Morgan Stanley to 5%.

Read the full story here.

— Evelyn Cheng

Mon, Jul 24 2023 12:31 AM EDT

Malaysia inflation comes in at 2.4% for June, at 16 month low

Malaysia's inflation rate came in at 2.4% for June, its fourth straight month of decline and lowest point since April 2022's figure of 2.3%.

The country's inflation rate has been on a downward trend since August 2022, seeing eight months of declines and two months where the inflation rate has held steady.

Malaysia's statistics department said inflation in June was driven mainly by price increases in restaurants and hotels, as well as increases in food and non-alcoholic beverages.

— Lim Hui Jie

Sun, Jul 23 2023 10:03 PM EDT

Japan's business activity expands for seventh straight month: au Jibun bank

Japan's business activity expanded for the seventh straight month, according to flash estimates by the au Jibun bank.

The country's composite purchasing managers index stood at 52.1 for July, unchanged from the month before.

Services PMI slipped slightly to 53.9 from 54 in June, while manufacturing activity stayed in contraction territory, with the PMI falling to 49.4 from 49.8.

— Lim Hui Jie

Sun, Jul 23 2023 8:07 PM EDT

Australia's business activity contracts for the first time since March

Business activity in Australia's private sector fell for the first time since March, mainly due to a contraction in services activity.

According to flash estimates from Juno Bank, the composite purchasing managers index fell to 48.3, down from 50.1 in June.

Services PMI went below the 50 no-change mark to 48, down from 50.1 in June. In contrast, manufacturing activity posted a softer contraction at 49.6 compared to the 48.2 seen in June.

A PMI above 50 represents an expansion in the sector, while a PMI reading under 50 represents a contraction.

— Lim Hui Jie

Sun, Jul 23 2023 9:08 PM EDT

New Zealand trade balance slides in June as imports fall

New Zealand's trade surplus narrowed to just 9 million New Zealand dollars ($5.43 million) in June, down from a revised figure of NZ$52 million the month before.

On a year-on-year basis, goods exports rose 1.3%, to $6.31 billion in June, while imports fell 14% to $6.3 billion.

The country's statistics department said the rise in exports was mainly due to increase in dairy products, while a fall in petroleum products contributed mainly to the fall in imports.

— Lim Hui Jie

Sun, Jul 23 2023 7:53 PM EDT

CNBC Pro: Bank of America says Europe's oil majors ‘are close to bottoming out' — and names its top pick ahead of earnings

Bank of America believes Europe's Big Oil stocks "are close to bottoming out," pointing to the start of the earnings season this week as an inflection point.

The Wall Street bank named its "Big Oil top pick" ahead earnings, and expect it to rise by 30% over the next 12 months.

CNBC Pro subscribers can read more here.

— Ganesh Rao

Sun, Jul 23 2023 7:34 PM EDT

CNBC Pro: China's earnings season is just getting started. Here are some winners to watch

Some Chinese stock sectors are seeing fundamentals shift in their favor.

Profits are moving to industrials, consumer discretionary and staples — and away from materials and energy, according to HSBC.

Investors may also get some answers about macro policy in coming days with a gathering of Chinese leaders, called the Politburo, due by the end of the month.

CNBC Pro subscribers can read more here.

— Evelyn Cheng

Fri, Jul 21 2023 3:23 PM EDT

Credit Suisse urges caution beyond three months as recession risks remain

A number of market signals are suggesting the broad market rally could hit a snag later this year, Credit Suisse' global equity strategist Andrew Garthwaite said.

"Beyond a 3 month view we would be much more cautious because: 1. Markets always make new lows into a recession (on average 11 months after it starts). The yield curve, Senior Loans Officer Survey, Money supply are consistent with a recession," Andrew Garthwaite, the firm's global equity strategist, said to clients in a Friday note.

"We also fear wage growth will be stickier (implying core service inflation in US will rise and hence the degree of rate cuts discounted by the market in 2024 will not materialise unless there is a recession," Garthwaite said.

— Sarah Min

Fri, Jul 21 2023 2:52 PM EDT

Earnings season off to a below-average start, according to FactSet

The early returns for this earnings season are slightly below average, according to FactSet's John Butters.

Here are some of the key stats from Butters' note recapping the first full week of the second-quarter earnings season:

  • Earnings per share surprise: 75% of S&P 500 companies have reported a positive surprise, which is below the 5-year average of 77%.
  • Earnings verse estimates: S&P 500 companies are beating EPS estimates by 6.4% in aggregate, which is below the 5-year average of 8.4%
  • Looking forward: The earnings decline for 2023 for the S&P 500 is -9.0%, using FactSet's "blended" method that combines realized and projected results. That would mark the largest earnings decline reported by the index since the pandemic-affected Q2 2020 (-31.6%).

— Jesse Pound

Fri, Jul 21 2023 11:56 AM EDT

Wall Street is watching Barbie

C'mon Barbie, let's go Mattel?

Analysts have been following shares of the toymaker closely in the runup to this weekend's highly anticipated premiere of the movie based on the iconic doll. It's an important moment for Mattel, as the company tries to prove it has the ability to turn its intellectual property into blockbusters. And analysts also watching to see if other companies, including movie theatres and retailers, can ride the rising, hot-pink tide.

CNBC Pro subscribers can see some of the stocks Wall Street is watching for trends related to the film here.

— Alex Harring

Fri, Jul 21 2023 8:09 AM EDT

Regional bank stocks are on pace for best week in more than 2 years

Regional Banks were higher in premarket trading on Friday, with the SPDR S&P Regional Banking ETF (KRE) up more than 9% since Monday.

That puts the KRE on pace for its best week in more than two years, when the ETF gained 9.78% for the week ending Jan. 8, 2021.

See Chart...
SPDR S&P Regional Banking ETF.

Western Alliance, PacWest and Citizens Financial have soared so far this week with gains of roughly 25%, 24% and 13%, respectively. The KRE will need to end the week more than 9.06% higher to notch the Jan. 8 figure.

— Brian Evans, Gina Francolla

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