Chinese stocks edged lower Monday, as other Asian markets were also little changed, after the world’s number-two economy expanded at its slowest pace since 2009 in the third quarter.
The Nikkei 225 index removed 160.57 points, or 0.9%, to 18,131.23,
The Hang Seng index in Hong Kong inched up 8.24 points to 23,075.61
The Australian dollar rose to as high as $0.73 U.S. on release of China’s GDP, before falling back toward $0.72, its level earlier in the day.
Prices of most commodities fell after China’s third-quarter data, underscoring worries about slowing consumption from one of the world’s largest consumers.
Copper futures for December delivery recently were down by 0.4%.
CHINA
The CSI 300 in Shanghai eked up 0.12 points to 3,534.18
Earlier Monday, China reported third-quarter economic growth of 6.9%, adding to doubts that Beijing can meet its year-end target of about 7%. Still, the results slightly outpaced expectations of 6.8%, according to economists polled by The Wall Street Journal, ratcheting down some of the pessimism that had unsettled global markets over the summer.
A breakdown of data showed industrial production and investment disappointed. The results also indicate government spending contributed more than usual to gross domestic product growth, which does little to boost economies outside China. These factors could explain why international markets aren’t reacting as positively as mainland shares, experts said.
Those hopes restored some investors’ appetite for borrowing to buy stocks. Margin financing from official channels, including brokerages, totaled 97.3 billion yuan ($15.4 billion U.S.) as of Sept. 16, the seventh consecutive session of gains, according to database Wind Information Co.
Shares of brokerages led gains in China Monday. Western Securities Co. was recently up nearly 10%, while China Cifco Investment Co. reached the 10% upward daily limit set by regulators.
Meanwhile, unofficial channels of margin lending persist, which are difficult for the government to control. The state-run China National Radio reported Monday that some firms have offered leverage rates of five times or more
In currencies, China’s onshore yuan traded at its weakest level since late September against the U.S. dollar, which hit as high as 6.3662 yuan. Earlier, China’s central bank fixed the yuan at its weakest level this month, at 6.3527 to one U.S. dollar. The currency can trade 2% above or below that level.
In other markets
The Kospi index in Korea gained 0.01 points to 2,030.27
Taiwan’s Taiex index was positive 26.55 points, or 0.3%, to 8,631.52
In Singapore, the Straits Times Index slipped 6.11 points, or 0.2%, to 3,024.50
The NZX 50 gained 14.82 points, or 0.3%, to 5,834.83
The ASX 200 Index took on 1.5 points, or 0.6%, to 5,269.71
