ASX Round-Up: Exchange Down on China Troubles

Resource Investing News

Today, the Australian Securities Exchange dropped 22.1 points, or 0.4 percent, to 5,240.9 points. Analysts believe the fall was caused by a spike in Australian inflation and weak Chinese manufacturing data.

Today, the Australian Securities Exchange (ASX) dropped 22.1 points, or 0.4 percent, to 5,240.9 points, according to The Sydney Morning Herald. Analysts believe the fall was caused by a spike in Australian inflation and weak Chinese manufacturing data.
Expanding on the latter point, the publication notes that the HSBC-Markit Flash Purchasing Managers’ Index, which is a survey of China’s factories, fell to 49.6 for January. Readings under 50 indicate a contraction or stagnation in the sector. “The China data seems to be playing out with some volatility, that looks set to stay with us for another week or so, going into the Chinese New Year. That seems to have been a negative sentiment globally,” George Boubouras, chief investment officer at Equity Trustees, told the news outlet.
Mount Gibson Iron (ASX:MGX) gained $0.08 on the ASX today, hitting $1.04 — that’s an 8.33-percent increase. The company is engaged in mining hematite iron ore in Western Australia. Evolution Mining (ASX:EVN) also rose on the ASX, increasing by 4.2 percent, or $0.025, to hit $0.62. Evolution owns and operates gold and silver mines.
Not faring so well was Beadell Resources (ASX:BDR), which lost 11.25 percent, or $0.09, to reach $0.71. Beadell owns a gold mine in Brazil, and is exploring for further gold opportunities in Australia and Brazil.

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