Investors in Asia are cautious.
(Photo: Stone/Getty Images)
Sydney The uncertain outlook for the Chinese economy is causing investors in Asia to avoid stocks. The latest economic data for August showed a slight improvement, said Ting Lu, chief China economist at the financial institution Nomura on Tuesday. “However, we see very limited signs that the economy has truly bottomed out.”
After the government’s support measures, all eyes are still on the real estate sector. From there there were the first glimmers of hope: According to insiders, the real estate developer Country Garden received approval from its creditors to postpone the repayment of another onshore bond. This is the last of a total of eight bonds for which the company had requested a deferral.
In addition, the real estate group Sunac China Holdings received approval from its creditors for a nine billion dollar debt restructuring plan. The Shanghai Stock Exchange and the CSI index of major companies in Shanghai and Shenzhen closed little changed on Tuesday.