SHANGHAI: Shanghai shares ended at their lowest levels in nearly seven months on Tuesday, weighed down by banking and energy stocks, while investors assessed disappointing China manufacturing activity data for August.
China’s manufacturing activity sank to a six-month low in August as factory gate prices tumbled and owners struggled for orders, an official survey showed, pressuring policymakers to press on with plans to direct more stimulus to households.
Meanwhile, as markets now firmly expect the US Federal Reserve to cut interest rates in September, this could give Beijing more leeway to manoeuvre its own monetary policy, according to some investors.
The focus will be on the US non-farm payrolls data, due on Friday, after Fed Chair Jerome Powell last month endorsed an imminent start to rate cuts in a nod to worries over the labour market.
At the close, the Shanghai Composite index was down 0.29% at 2,802.98 points, its…
