The index of manufacturing activity (PMI) of China estimated by HSBC fell to a minimum of 3 months and reached 50.2 against 50.3 in July. Official data also showed a decline to 51.1, against the forecast of decline to 51.2 and the previous figure 51.7. It is worth mentioning that the value above 50.0 indicates growth in the sector.
A slowdown in growth in China is one of the major risks to the country's stock market along with the crisis in the construction sector of the country. Weakening economic indicators also puts pressure on quotes of Australian and New Zealand dollars, for which China is a major importer of goods. We keep a medium-term negative outlook on the Chinese stock market.