From Reuters: 2024-09-15 22:19:46

Chinese stocks in Hong Kong fell after economic data showed a slowdown in the country’s recovery. The Hang Seng Index dropped 0.7% as the services sector reported weaker-than-expected growth. This comes after a strong rally in Chinese stocks earlier in the month. Investors are now monitoring the impact of the delta variant on economic activity.

The services sector in China reported a slowdown in August, with the Caixin/Markit services purchasing managers’ index (PMI) falling to 47.5 from 54.9 in July. This marks the lowest level since the height of the COVID-19 pandemic in early 2020. The data suggests that the Chinese economy is facing headwinds as it tries to rebound from the pandemic.

Investors are concerned about the impact of the delta variant on China’s economic recovery. The country has been grappling with localized outbreaks and strict lockdown measures to contain the virus. The uncertainty surrounding the pandemic’s trajectory has led to cautious trading in Chinese stocks. This has raised questions about the durability of the country’s economic rebound.



Read more at Reuters: Chinese Stocks Drop in Hong Kong After Economic Data Disappoint – MSN