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As on : 27-Jan-2025

Market Commentary - Foreign Markets
27-Jan-2025 15:21

Chinese shares end lower after weak economic data

Asian stocks fell broadly on Monday as investors reacted to weak Chinese data and awaited interest-rate decisions from the U.S. Federal Reserve and the European Central Banks this week for directional cues.

Gold retreated and the dollar gained following U.S. President Donald Trump's brief imposition of tariffs on Colombia. Oil traded lower as Trump reiterated calls for OPEC to cut prices.

China's Shanghai Composite finished marginally lower at 3,250.60 after new data showed Chinese manufacturing activity unexpectedly shrank in January and non-manufacturing activity growth slowed sharply - raising concerns about Q1 2025 growth and the effectiveness of stimulus measures.

Also, profits at China's industrial profits fell for a third straight year in 2024, official data showed on Monday, highlighting the need for increased economic support.

Hong Kong's Hang Seng index rose by 0.53 percent to 20,172.10, with Chinese tech companies such as Tencent and Alibaba leading the surge.

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