Hong Kong business activity contracts at fastest pace in 21 years

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HONG KONG: Business activity in Hong Kong's private sector fell to its weakest in 21 years in October, weighed down by anti-government protests ...

Demand from mainland China declined at the sharpest pace in the survey's history - which started in July 1998 - while companies also cut back on purchasing and input inventories at the fastest clip since the series began, IHS Markit said.

"Hong Kong's private sector remained mired in one of its worst downturns for the past two decades during October, with the latest PMI survey signalling a deepening economic malaise," said Bernard Aw, principal economist at IHS Markit."As new orders continued to fall sharply, led by a record decline in demand from mainland China, firms were becoming increasingly pessimistic about the outlook.

Its seasonally adjusted headline Hong Kong Purchasing Manager's Index fell to 39.3 in October, down from 41.5 in September and signalling the worst deterioration since November 2008, during the global financial crisis.Almost all growth engines in the Asian financial hub stalled over the summer as stores, shopping malls and restaurants shut to avoid clashes between riot police and protesters, while the Sino-US trade war intensified.

Police, who have at times fired rubber bullets and tear gas at petrol bomb-throwing protesters, say they have shown restraint in the face of escalating violence.

 

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Business is moving directly to the main land. No need to go through HK anymore. High virtual property prices inflated by the HK property tycoons will soon crash. This will benefit the common HKers in the long run. GBHK

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Hong Kong business activity in October contracts at fastest pace in 21 yearsHONG KONG (REUTERS) - Business activity in Hong Kong's private sector fell to its weakest in 21 years in October, weighed down by anti-government protests and softening global demand, according to an IHS Markit survey published on Tuesday (Nov 5).. Read more at straitstimes.com. Business is moving directly to the main land. No need to go through HK anymore. High virtual property prices inflated by the HK property tycoons will soon crash. This will benefit the common HKers in the long run. GBHK
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