It’s an ugly day all around. A notable loser overnight was the Shanghai Composite, which fell 2.93%, dramatically extending what’s already been a pretty weak period for this market.
What’s going on there? Fears of slowing growth and rampant. Basically stagflation Chinese style.
The latest worry point is the HSBC PMI, which came in at 51.1, for the slowest reading in 10 months.
Via AFP, the survey said: “Manufacturers continued to reduce inventories amidst slowing new business flows, leading to slower production growth at a 10-month low.”
51.1 is still positive growth, but barely, and new business flows slowing speak for themselves.