Asian shares advance despite new U.S.-China trade jitters

Elaine Kurtenbach, The Associated Press
Published Friday, November 1, 2019 12:52AM EDT
Last Updated Friday, November 1, 2019 3:30AM EDT

BANGKOK — Asian shares advanced Friday despite fresh concerns over a report that cast doubt on the prospects for a long-term U.S-China trade deal.

Hong Kong’s Hang Seng rose 0.7% to 27,082.69 and the Shanghai Composite jumped 0.9% to 2,955.29. In South Korea the Kospi climbed 0.8% to 2,100.20. In Australia, the S&P ASX/200 inched up 0.1% to 6,669.10.

Japan’s Nikkei 225 index fell 0.3% to 22,850.77 after a survey of purchasing managers showed factory activity contracting in October.

The Jibun Bank Japan Manufacturing purchasing managers index hit 48.4 on a scale where 50 shows activity contracting. That was down from 48.9 in September.

“Worrying signs for Japanese manufacturers appeared at the start of the fourth quarter, with PMI data showing conditions deteriorating at the sharpest rate for almost three-and-a-half years,” Joe Hayes of IHS Markit said in a commentary.

“Even more concerning was the fact that new orders, a key forward-looking component of the survey, was the primary reason underpinning this marked decline,” he said.

Shares also fell in Bangkok and Jakarta but rose in Singapore and Taiwan.

Stocks closed broadly lower on Wall Street following a report that raised concerns about the prospects of a comprehensive trade deal between Washington and Beijing.

The Bloomberg report, citing unnamed sources, suggested Chinese officials are doubtful that they will be able to reach a comprehensive, long-term trade deal with the U.S.

That overshadowed remarks by President Donald Trump, who touted Thursday that both sides are working on finding a location to sign “phase one” of the trade deal.

“It’s mainly the concerns about whether there will be some kind of trade deal with China, both the first round and the bigger agreement that,

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