• SENSEX  
    ( 0.22%)
  • USDINR  
    ( 0.51%)
  • GOLD  
    ( -0.01%)
  • Foreign Markets - Detailed News

China Market ups on Caixin PMI data, MSCI decision to boost stocks weighting
01-Mar-19   09:08 Hrs IST
Headline indices of the Mainland China equity market were higher in morning session on Friday, 1 March 2019, bolstered by better than expected Caixin manufacturing PMI data. Confirmation that MSCI Inc. will boost the weight of Chinese stocks in its global benchmarks also helped sentiment. In morning trade, the benchmark Shanghai Composite Index added 0.23%, or 6.79 points, to 2,947.74. The Shenzhen Composite Index, which tracks stocks on China's second exchange, dropped 0.01%, or 0.22 points, to 1,546.11. The blue-chip CSI300 index rose 0.6%, or 21.52 points, to 3,690.89.

China's factory activity improved in February but remained in contractionary territory for a third month as the world's second-largest economy continued to struggle with weak export orders, a private survey showed on Friday. The readings - closely watched by investors as an alternative to the official data and more focussed on smaller firms - offered further evidence China's economy is losing momentum and suggests the U.S.-Sino trade war will continue to weigh on exports as prospects for a trade deal remain uncertain. The Caixin/Markit Manufacturing Purchasing Managers' Index (PMI) for February rose to 49.9 from 48.3 in January, just below the neutral 50-mark dividing expansion from contraction on a monthly basis. Economists had forecast a sharper deterioration for February of 48.5.

The results of the China's private survey came on the heels of official PMI China released on Thursday which showed manufacturing activity fell for the third straight month, dropping to 49.2 in February from 49.5 in January, according to data released by the country's National Bureau of Statistics. Investors have been closely watching economic indicators from the world's second-largest economy for signs of trouble amid domestic headwinds and the ongoing U.S.-China trade dispute. The manufacturing data come days before China's annual meeting of parliament which starts on March 5. Top officials are widely expected to announce more support measures such as sweeping tax cuts to reduce the strains on the economy. Chinese leaders will also reveal Beijing's key economic and financial targets for the year which may provide clues on their future policy stance. Actual growth in the world's second-largest economy cooled to 6.6% in 2018 — the slowest in 28 years — from 6.8% in 2017.

Index provider MSCI Inc. said it would quadruple the contribution of mainland Chinese companies' to its benchmarks. Late Thursday, MSCI said it would follow through on its September proposal to increase the so-called inclusion factor of mainland companies in its widely tracked emerging-markets index to 20% from its previous cap of 5% over a three-step process starting in May. That will push the weighting of domestic Chinese stocks to 3.3% by November, when the process is set to be completed, from 0.7% now. The decision is likely to pull tens of billions of dollars into China. The world's second-largest economy is also set to enter a world bond index in April and a rival global stock index in June.

CURRENCY NEWS: China's yuan was little up against the U.S. dollar on Friday, buoyed by optimism that Beijing and Washington will reach a trade deal after a China tariff hike due on March 1 was suspended. Yuan traders said market sentiment remained positive as tensions between the world's two largest economies had eased. Prior to the market opening, the People's Bank of China set the midpoint rate at 6.6957 per dollar, 56 basis points softer than the previous day fixing of 6.6901.

Powered by Capital Market - Live News

Useful Links

Attention Investors
Prevent Unauthorized Transactions in your demat account --> Update your Mobile Number with your Depository Participant. Receive alerts on your Registered Mobile for all debit and other important transactions in your demat account directly from CDSL on the same day.............issued in the interest of investors. No need to issue cheques by investors while subscribing to IPO. Just write the bank account number and sign in the application form to authorise your bank to make payment in case of allotment. No worries for refund as the money remains in investor's account                                    "KYC is one time exercise while dealing in securities markets - once KYC is done through a SEBI registered intermediary (broker, DP, Mutual Fund etc.), you need not undergo the same process again when you approach another intermediary.
Investors should be cautious of unsolicited emails and SMS advising to buy, sell or hold securities and trade only on the basis of informed decision. Investors are advised to invest after conducting appropriate analysis of respective companies and not to blindly follow unfounded rumours, tips etc. Further, you are also requested to share your knowledge or evidence of systemic wrongdoing, potential frauds or unethical behaviour through the anonymous portal facility provided on BSE & NSE website.BSE   http://www.bseindia.com/investors/tip-off-registration.aspx?expandable  NSE   https://www.nseindia.com/int_invest/dynacontent/any_portal.htm
All payments to Stock Broker shall be received from the market intermediaries/participants strictly by account payee crossed cheques / demand drafts or by way of direct credit into the bank account through electronic fund transfer, or any other mode permitted by the Reserve Bank of India. Stock Brokers shall not accept cash from their clients either directly or by way of cash deposit to the Bank Account of Stock Broker.
Group Companies Members of : BSE, NSE, MCX, MCX.SX, CDSL, NCDEX, Broking Services, Depository Services, Portfolio Management Services, Member Area IPO Distribution, Insurance Broking
BSE Clearing No.: 911 | SEBI Regn. No.: INZ000177531 (Cash/F&O) | NSE Clearing No.: 11858 | SEBI Regn. No. INZ000177531 (Cash/F&O/CDs) | MCX-SX Clearing No.: 11400 | SEBI Regn. No.: INZ000177531 (CDs) | CDSL DP ID: 30300 | SEBI Regn. No.: IN-DPCDSL-210-2003 | MCX SEBI Reg No.: INZ000032336 | MCX: 10665 | NCDEX: 00254 | NBFC RBI Regn. No.: 13.01851
© Copyright 2018 Ajmera Associates Ltd ( ISO 9001:2015 Certified )
Designed, Developed and Powered By CMOTS Infotech ( ISO 9001:2015 Certified )