Asia stocks stumble as China data disappoints

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Asia stocks stumble as China data disappoint

SYDNEY : Asian share markets slipped on Monday after a raft of Chinese data showed a surprisingly sharp slowdown in the engine of global growth, just as much of the world races to stem the spread of the Delta variant of COVID-19 with vaccinations.

"China is in the midst of removing policy supports, which looks likely to restrain domestic demand growth and weigh on regional performance through the rest of this year," he added."With these drags building in recent weeks we have been lowering 2H21 regional growth forecasts." Chinese blue chips were hanging onto gains of 0.3per cent, perhaps in anticipation of a more aggressive policy easing from Beijing.Nasdaq futures and S&P 500 futures were both down 0.2per cent. EUROSTOXX 50 futures fell 0.4per cent and FTSE futures 0.6per cent.

It also wiped out a week of gains for the dollar, sending it back to 92.517 against a basket of currencies from a near five-month top of 93.195. "We judge a tapering announcement next month is not widely expected, so if the minutes show the FOMC discussed the possibility of announcing a taper as soon as September, we expect the dollar to jump."

 

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