China’s stock-index futures rose after a holiday as data showed manufacturing expanded more than forecast, signaling growth may be starting to stabilize in the world’s second-biggest economy.
Futures on the CSI 300 Index expiring in May, the most active contract, gained 0.2 percent to 4,780.60 as of 9:22 a.m. local time. The official manufacturing Purchasing Managers’ Index was at 50.1 in April, compared with economists’ median estimate of 50. HSBC Holdings Plc and Markit Economics are due to release their PMI index for April at 9:45 a.m. Monday. Numbers above 50 signal expansion.
The Shanghai Composite Index dropped 0.8 percent to 4,441.66 on Thursday. The gauge advanced 19 percent in April, the third straight monthly gain, on expectations the government will further cut borrowing costs to support the economy.
Hong Kong’s Hang Seng China Enterprises Index fell 1.2 percent to 14,431.11. The CSI 300 Index declined 0.5 percent. The Hang Seng Index lost 0.9 percent. The Bloomberg China-US Equity Index, the measure of the most-traded U.S.-listed Chinese companies, added 0.5 percent in New York on Friday. Markets in the mainland and Hong Kong were closed on Friday for a holiday.
The Communist Party leadership has vowed to step up targeted controls to counter downward pressure on the economy, avoiding any mention of full-blown stimulus.
Source : Bloomberg