China’s markets jump on June manufacturing activity data; Other Asian markets fall

Shares in mainland China climbed on Thursday as China’s manufacturing PMI rebounded to the expansion zone in June, but most other Asian markets declined.

As of 9.26 hrs. local time in Thailand, mainland China’s Shanghai Composite gained 0.36% and the Shenzhen Component gained 1%.

Hong Kong’s Hang Seng index slipped 0.20%. The Nikkei 225 in Japan dropped 0.98%, while South Korea’s Kospi dropped 0.79%.

In Australia, the S&P/ASX 200 was 0.85% lower.

The purchasing managers’ index (PMI) for China’s manufacturing sector was at 50.2 in June, up from 49.6 in May, data from the National Bureau of Statistics showed Thursday.

A reading above 50 indicates expansion, while a reading below 50 reflects contraction, according to Xinhua.

Industrial production in South Korea increased marginally in May, according to official figures. Production in the industrial sector rose by 0.1% in May compared to April. In May, Service sector output grew 1.1%

Meanwhile, aata released by the Japanese government shows that industrial production fell by 7.2% in May. Rob Carnell, ING’s regional head of research in the Asia-Pacific, said on Thursday that the figure was significantly lower than market consensus and could have been affected by lockdowns in China.