Singapore’s GDP a Bright Spot in Mixed Asian Markets

Asian markets saw mixed performances Thursday, with China leading declines after a disappointing December manufacturing PMI reading. The Caixin/S&P Global manufacturing index slipped to 50.5, missing forecasts of 51.7, and down from November’s 51.5. The official PMI also came in below expectations at 50.1, signalinga marginal pace of growth as exports struggled amid global economic uncertainties.

Singapore’s economy provided a brighter spot. Fourth-quarter GDP grew 4.3% year-on-year, slower than Q3’s 5.4% but still robust. Annual growth for 2024 was 4%, a significant improvement from 2023’s 1.1%, as the city-state benefited from strong trade and industrial recovery.

The Hang Seng Index in Hong Kong lost 2.4%, weighed down by a 23% drop in Sun Art Retail shares after Alibaba announced plans to divest its majority stake.

Elsewhere in Asia, South Korea’s Kospi index edged lower to 2,398.94, while the Kosdaq gained 1.24%. Australia’s S&P/ASX 200 rose 0.52% to close at 8,201.2. Markets in Japan stayed closed for the New Year holiday.

What Does This Mean for Me?

In the U.S., futures signaled a steady start to the trading year. Dow futures were flat, while the S&P 500 and Nasdaq 100 futures rose 0.06% and 0.17%, respectively. The S&P 500 notched a 23.31% gain for 2024, marking its second consecutive year of over 20% growth. The Nasdaq outperformed, climbing 28.64%, while the Dow added 12.88%.