Business activity in Hong Kong's private sector fell to its weakest in 21 y...
HONG KONG - Business activity in Hong Kong’s private sector fell to its weakest in 21 years in October, weighed down by anti-government protests and softening global demand, according to an IHS Markit survey published on Tuesday.
More than five months of often violent street protests have battered the city’s retail and tourism sector, with preliminary government data showing the economy slid into recession for the first time in a decade in the third quarter. “Hong Kong’s private sector remained mired in one of its worst downturns for the past two decades during October, with the latest PMI survey signaling a deepening economic malaise,” said Bernard Aw, principal economist at IHS Markit.
Its seasonally adjusted headline Hong Kong Purchasing Manager’s Index fell to 39.3 in October, down from 41.5 in September and signaling the worst deterioration since November 2008, during the global financial crisis.Almost all growth engines in the Asian financial hub stalled over the summer as stores, shopping malls and restaurants shut to avoid clashes between riot police and protesters, while the Sino-U.S. trade war intensified.
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