Jakarta - Emerging-market stocks slid to a 15-week low, led by consumer and technology shares.
Chinese equities in Shanghai rose as a manufacturing gauge beat estimates, while Czech and Polish bonds gained.
Naspers, Africa’s biggest media company, fell for a third day, while Samsung Electronics sank to a two-year low.
India’s Sun Pharmaceutical Industries and Cipla led declines among drugmakers.
The Shanghai Composite Index advanced 0.9 percent.
The yield on 10-year Czech bonds fell to a record.
The MSCI Emerging Markets Index slid 0.5 percent to 1,034.87 at 12:34 pm in London, its fourth day of losses.
A manufacturing gauge for the euro area slipped more than economists forecast, while a similar index for China rose.
About $574 billion (R6.4 trillion) was wiped off the value of global equities yesterday after China’s Finance Minister Lou Jiwei damped speculation the government will boost economic stimulus.
“Investors are just starting to recognize the extent to which things are deteriorating across much of the corporate sector,” John-Paul Smith, chief executive officer at Eclectic Strategy in London, said today by e-mail.
“Companies in a number of manufacturing and material-based industries are attempting to deleverage, which is having a knock-on effect on the broader economy.”
All but one of the 10 industry groups in the developing-nation gauge slid.
Naspers dropped 2.3 percent in Johannesburg.
Tencent, in which Naspers owns a stake, fell 1.8 percent to the lowest level since June, after being dethroned as Asia’s biggest Internet company by Alibaba Group.
Russia Rebounds
South Africa’s benchmark gauge dropped 1.2 percent.
India’s Sensex slid 1.6 percent as Sun Pharmaceutical and Cipla dropped more than 2 percent.
Russia’s Micex advanced 0.4 percent, after falling 4.4 percent in the previous four days as energy producers gained with crude oil.
OAO Novatek, the country’s second-biggest natural gas producer, gained 1.3 percent.
Stocks in the Middle East were mixed as the US and its Arab allies launched air strikes on Islamic State positions in Syria.
Dubai’s DFM General Index advanced 0.7 percent, while Qatar’s QE Index retreated for the third day, losing 0.8 percent.
The 10-year Czech yield dropped two basis points to 1.14 percent and the rate on similar-maturity Polish bonds also slid six basis points, to 3.03 percent.
Euro-area manufacturing and services growth unexpectedly slowed to the weakest pace this year.
Stock Valuations
South Africa’s rand strengthened 0.8 percent, advancing for the first time in five days.
Hungary’s forint gained 0.5 percent versus the euro.
The MSCI gauge for emerging markets has risen 3.2 percent this year and trades at 11 times 12-month estimated earnings, data compiled by Bloomberg show.
The MSCI World Index has advanced 3.8 percent and is valued at a multiple of 15 times.
The Shanghai Composite Index advanced 0.9 percent while the Hang Seng China Enterprises Index of mainland companies listed in Hong Kong fell 0.3 percent.
China’s preliminary Purchasing Managers’ Index from HSBC Holdings Plc and Markit Economics was at 50.5, compared with the median estimate of 50 in a Bloomberg News survey of analysts and August’s final reading of 50.2. after data last week showed foreign direct investment dropped to a four-year low and home prices fell in all but two cities tracked by authorities.
‘Not Enough’
“China’s data today is not enough to boost investors’ confidence on the outlook of the economy,” Akbar Syarief, a fund manager at PT MNC Asset Management, said by phone from Jakarta today.
“Investors still want the Chinese government to provide stimulus for its economy.”
South Korea’s Kospi index fell 0.5 percent.
Samsung, which competes with Apple, lost 2.3 percent.
Apple sold a record of more than 10 million iPhones the first weekend two new versions hit stores, helping chief executive Tim Cook in a push to narrow Samsung’s lead in bigger-screen smartphones.
South Korean steelmaker Posco tumbled 5.7 percent, the most since September 2011, on concerns of further slowdown in China and falling steel product prices, said Kim Hyun Tae, an analyst at KB Investment & Securities.
Hyundai Motor, South Korea’s largest carmaker, and affiliate Kia Motors fell at least 2.1 percent after their workers’ unions announced partial strikes. - Bloomberg News