China’s factory activity misses expectations, contracting for second consecutive month
China’s official manufacturing purchasing managers’ index for November was 48, below the 50-point mark that separates growth from contraction.
That’s below the expectations of analysts polled by Reuters, who had predicted a reading of 49. October’s PMI was 49.2.
PMI readings are sequential and represent month-to-month changes in factory activity.
— Abigail of
Australia’s monthly inflation indicator shows a slight slowdown
Australia’s consumer price index for October slowed to 6.9% on an annualized basis from 7.3% in September, according to a monthly indicator from the Bureau of Statistics ‘Australia.
Rising prices for housing, food and non-alcoholic beverages, as well as transportation, pushed the overall CPI indicator up.
Bilibili shares the morning pop session in Asia
Hong Kong-listed Bilibili shares rose as much as 12.7% in Asian morning after the company beat revenue estimates for the third quarter of the year.
Net income was 5.79 billion Chinese yuan ($809.8 million), up 11% from the same period in 2021. Refinitiv Eikon estimates had forecast revenue of 5.52 billion yuan.
Net losses narrowed to 1.7 billion yuan, and average monthly active users grew by 25% year-on-year.
The company’s US-listed shares rose 22% overnight, while Hong Kong shares rose 8.47%.
— Abigail of
Industrial production data from South Korea and Japan are worse than expected
Industrial production in South Korea and Japan experienced declines during the month of October.
Japan’s preliminary industrial production for October fell 2.6 percent from a month ago, beating expectations for a 1.5 percent decline, according to a Reuters poll.
The reading marks the second consecutive decline after registering a 1.7% drop the previous month.
South Korea’s industrial production also fell 3.5% from a month ago, also below expectations for a 1% decline. The reading marked the lowest since May 2020, when output fell 6.7%.
– Jihye Lee
China’s factory activity is expected to contract for the second consecutive month
According to analysts polled by Reuters, China’s official manufacturing purchasing managers’ index for November is expected to come in at 49, below the 50-point mark that separates growth from contraction.
This is slightly lower than the 49.2 reading reported in October.
PMI readings are sequential and represent month-to-month changes in activity.
— Abigail of
China says it is “closely watching” the evolution of the virus when asked about the policy change
Chinese health authorities said officials are “closely watching” Covid developments when asked if protests in the region would lead to changes in its zero-Covid policy.
“China has been closely following and watching the virus as it evolves and mutates,” the officials said, according to a translation of Tuesday’s briefing.
– Christine Wang, Evelyn Cheng
CNBC Pro: Goldman Sachs’ Currie says oil stocks are trading ‘way below’ their long-term trend
Goldman Sachs global head of commodities research Jeff Currie told CNBC that historically, oil stocks have traded at a much higher premium to crude oil prices compared to current price levels .
For example, the price gap between the SPDR Oil & Gas ETF and the ICE Brent Crude futures contract was about $66.60 on Tuesday. This is significantly lower than the $104 gap recorded in early January 2017, according to Koyfin data, as the chart below shows.
China announces measures to increase vaccination of the elderly
China’s health authorities released a plan to increase vaccination of the elderly, according to a notice on the National Health Commission’s website.
Shares of Hong Kong-listed CanSino Biologics extended gains in the afternoon session, rising as much as 18% shortly after the announcement was made.
The warning said authorities should use multiple data points to accurately identify target groups for vaccination of the elderly.
CNBC Pro: As Wall Street Turns Bearish, These Margin Growth Stocks Could Be Safe Bets
Wall Street professionals are worried about the outlook for stocks and are urging investors to stay on the defensive. These margin growth stocks could be safe bets.
Professional subscribers can read more here.
— Xavier Ong
Nasdaq and S&P 500 post third day down
The Dow Jones Industrial Average closed up 3.07 points, or 0.01%, after trading lower for much of the day. The index ended the day at 33,852.53.
Meanwhile, the Nasdaq Composite finished down 0.59% to close at 10,983.78. The S&P 500 fell 0.16% to close at 3,957.63.
—Alex Harring