{"id":160298,"date":"2019-11-22T10:30:29","date_gmt":"2019-11-22T15:30:29","guid":{"rendered":"https:\/\/www.countingpips.com\/?p=160298"},"modified":"2019-11-22T06:54:28","modified_gmt":"2019-11-22T11:54:28","slug":"hk50-analysis-weak-data-bearish-for-hong-kong-stock-index-hk50","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2019\/11\/hk50-analysis-weak-data-bearish-for-hong-kong-stock-index-hk50\/","title":{"rendered":"HK50 Analysis: Weak data bearish for Hong Kong Stock Index HK50"},"content":{"rendered":"
November 22, 2019<\/div>
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By IFCMarkets<\/a><\/strong><\/p>\n

Weak data bearish for HK50<\/strong><\/p>\n

Hong Kong\u2019s private sector contraction continued in October. Will the HK50 <\/a> decline?<\/p>\n

Hong Kong economic data were weak since its central bank mirrored Fed\u2019s rate cut on October 31: retail sales\u2019 20.4% over year in September was the eighth straight month of drop. And the October reading of purchasing managers index was below 50 again, indicating acceleration of contraction in the private sector. Activities in private sector contracted for the nineteenth straight month as new orders dropped due to a record fall in new business from mainland China, pointing to weakness ahead too. The slump in activities is being attributed to US-China trade tensions, as well as protest related disruptions. And unemployment rose to 3.1% in the three months to October from 2.9% in the prior period. Continuing decline in activities in private business sector is bearish for HK50.<\/p>\n

\"HK50<\/p>\n

On the daily timeframe HK50: D1 <\/b> is retracing lower after a rebound following the decline to 11-month low in the beginning of August.<\/p>\n