FXStreet (Mumbai) – The bulls lost steam after the effect of a weaker than expected Chinese PMI data eventually kicked-in, pushing the Shanghai Composite Index below 4100 levels.

Mainland equities dragged lower

Earlier today, the index had climbed 1.1% , even though gauge of Chinese manufacturing unexpectedly fell to a 15-month low. Moreover, the negative action in the offshore equities – Hong Kong’s Hang Seng China Enterprises Index sinking 1% – could have eventually weighed over the mainland equities.

Meanwhile, the Australian dollar and copper prices, both seen as proxies for Chinese growth expectations, retreated at least 0.5%.

Consequently, the index fell into losses. Shanghai Composite now trades 1.29% lower at 4070.88.

The bulls lost steam after the effect of a weaker than expected Chinese PMI data eventually kicked-in, pushing the Shanghai Composite Index below 4100 levels.

(Market News Provided by FXstreet)

By FXOpen