Asian Stock Market News - China Stocks

Asian shares slide as soft China surveys, U.S. data sap risk appetite

Asian stocks slid to their lowest level in nearly three weeks on Monday, as profit taking set in after soft Chinese factory surveys and U.S. consumer spending data raised concerns over the global economic outlook.

MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS fell as much as 0.7 percent, hitting its lowest level since Oct 14. Tokyo's Nikkei .N225 retreated 2.1 percent.

European shares are expected to open weaker, with spread-betters looking for Germany's DAX .GDAXI to fall 0.8 percent, France's CAC 40 .FCHI to drop 0.9 percent, and Britain's FTSE .FTSE to start 0.6 percent down.

Mainland China markets fell, with the main Shanghai index falling 1.2 percent .SSEC, hurt by the factory survey results and the government's crackdown on illegal futures trading.

China's factory activity fell for an eighth straight month in October, the Caixin purchasing manager's index (PMI) showed, fuelling fears the economy may still be losing momentum in the fourth quarter despite a raft of stimulus measures. ECONCN

"When the Fed says it is still considering a rate hike in December, there's limited room for share prices to rise further," said Ayako Sera, senior market economist at Sumitomo Mitsui Trust Bank.

The dollar lost 0.2 percent to 120.32 yen as the fall in Tokyo shares cooled risk appetite and favored the safe-haven Japanese currency.

The Fed did not hike rates last month but caused a stir by leaving the door open for a hike in December, again highlighting the divergence in monetary policies between the Fed and other central banks such as the European Central Bank and the BOJ.