Asian shares were mixed as strong manufacturing data in China
competed with fears of higher money market rates.
HSBC's "flash" reading of the October China manufacturing
Purchasing Managers' Index rose to a seven-month high of 50.9 from
September's final reading of 50.2 and beat expectations for an
increase to 50.4. The result also remained above the 50 level,
indicating growth rather than contraction.
People's Bank of China central bank decided not to inject cash
into the system for the third straight session. The seven-day repo
rate rose to around 4%, near the previous session's three-month
Chinese real estate developers fell after state news agency
Xinhua reported that Beijing authorities may bar developers from
selling homes if they don't accept the government's price
In other parts of the region, New Zealand recorded a 199 million
New Zealand dollar (US$168 million) goods, or merchandise, trade
deficit for September and a NZ$1.5 billion deficit for the year
ended Sept. 30, Statistics New Zealand said. August's monthly trade
deficit was revised to $1.23 billion from the $1.19 billion
originally reported. The median expectation in a Wall Street
Journal survey of 10 economists was for a deficit of NZ$800 million
in September, and a deficit of NZ$2.1 billion for the year.
Japanese banks came under pressure after Bank of Japan's
Financial System Report said that financials risk losing trillions
of yen if interest rates rise.
The Nikkei ended up 0.42% at 14,486.41, the Hang Seng down 0.71%
at 22,835.82 and the Straits Times up 0.41% at 3,217.95.