Chinese equities fell in New York, led by solar stocks, after a government index showed manufacturing expanded less than economists predicted and the country’s largest cities tightened rules on home purchases.
The Bloomberg China-US Equity Index of the most-traded Chinese companies in the US sank 1 percent to a two-week low of 91.29 yesterday. LDK Solar Co, the world’s second-biggest solar wafer maker, tumbled to the lowest level in almost four months and Suntech Power Holdings plunged a fourth day as industry executives said the company’s default last month will make it difficult for peers to obtain credit. Real estate website owner SouFun Holdings Ltd slid to a one-week low.
China’s Purchasing Managers’ Index was 50.9 in March, government data released yesterday showed, below the 51.2 median estimate of 26 economists surveyed by Bloomberg News. Manufacturing in the US also expanded less than forecast in March, according to data from the Institute for Supply Management. Beijing, Shanghai and other major cities released rules over the weekend to limit home purchases after the central government tightened regulations to rein in housing prices.
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