Asian Markets Close Mixed Amid Weak Chinese Manufacturing Data
Asian stock markets concluded trading on January 27th with varied results as investors processed disappointing data regarding Chinese manufacturing ahead of the upcoming Lunar New Year holiday.
In mainland China, the Shanghai Composite Index experienced a slight decline of 0.06%, closing at 3,250.60 points. Meanwhile, the Shenzhen Composite Index fell by 1.30%, ending the day at 1,911.09 points. The official survey revealed that the Purchasing Managers' Index (PMI) for the manufacturing sector in China dropped to 49.1 in January, indicating a contraction in the industry, as readings below 50 suggest a decline in activity. This downturn occurred despite aggressive stimulus measures implemented by the Chinese government in the latter half of the previous year.
This disappointing economic news surfaced just ahead of the Lunar New Year celebrations, during which Chinese financial markets will remain closed for a week starting January 28th.
In Japan, the Nikkei 225 index declined by 0.92%, closing at 39,565.80 points, largely due to pressures from technology and electronics stocks. Conversely, Hong Kong's Hang Seng Index saw a rise of 0.66%, finishing at 20,197.77 points, bolstered by optimism surrounding the development of a cost-effective artificial intelligence model by the Chinese startup DeepSeek.
Elsewhere in the Asia-Pacific region, stock exchanges in South Korea, Taiwan, and Australia were closed for public holidays on this day.