China, Hong Kong shares fall on weak data, US election

Chinese stocks and Hong Kong closed lower on Wednesday (9), as the drop in producer prices for the first time since December 2020 underscored the weakness of domestic demand amid restrictions against Covid-19, with investors awaiting data from the inflation and the results of midterm elections in the United States.

The CSI 300 index, which brings together the largest companies listed in Shanghai and Shenzhen, closed down 0.93%, while the Shanghai index fell 0.53%. Hong Kong’s Hang Seng Index was down 1.2%.

Asian equities have focused attention on the US midterm election results and US inflation data this week.

The Producer Price Index fell 1.3% in October from a year earlier, reversing a 0.9% rise a month earlier, data from the National Bureau of Statistics showed on Wednesday. The expectation in a Reuters poll was a decline of 1.5%.

The consumer price index rose 2.1% from a year earlier, slower than the 2.4% forecast by analysts.

Millions of residents of Guangzhou’s Chinese industrial hub will be required to be tested for Covid-19 on Wednesday, officials said, in an effort to control the city’s worst outbreak with infections exceeding 2,000 for two consecutive days.

• In TOKYO, the Nikkei index fell 0.56% to 27,716 points.
• In HONG KONG, the HANG SENG index fell 1.20% to 16,358 points.
• In SHANGHAI, the SSEC index lost 0.53% to 3,048 points.
• The CSI300 index, which brings together the largest companies listed in SHANGHAI and SHENZHEN, dropped 0.93% to 3,714 points.
• In SEOUL, the KOSPI index appreciated by 1.06%, at 2,424 points.
• In TAIWAN, the TAIEX index rose 2.18% to 13,638 points.
• In SINGAPORE, the STRAITS TIMES index rose by 0.63% to 3,165 points.
• On SYDNEY, the S&P/ASX 200 index advanced 0.58% to 6,999 points.