Iron ore miners gain after China data
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More news: Iron ore miners gained following data that was a sign of growth in China’s economy after a recent barrage of stimulus measures.
Materials was the only ASX sector in green, up 0.28%, while the wider ASX 200 was 0.34% lower at 3:19pm AEDT.
Singapore iron ore futures jumped 1.66% to S$105.65 ($121.53). Iron ore majors BHP (0.49%), Fortescue (0.47%), and Rio Tinto (0.49%) all gained.
China services activity expands at fastest pace in 3 months
The news: China's services activity expanded at the fastest pace in three months in October, a private-sector survey showed on Tuesday.
The numbers: The Caixin/S&P Global services purchasing managers' index (PMI) grew to 52 in October from 50.3 the previous month. The 50-mark separates expansion from contraction on a monthly basis.
China’s benchmark CSI 300 index reversed earlier losses and rose as much as 1.2% after the data release, Bloomberg reported.
The context: The expansion matched the official PMI, released last week, which showed non-manufacturing activity including services and construction broke back into expansion.
ANZ called China's October PMI and new home sale data "encouraging", but said that a sustained recovery will require the expansion of domestic demand in the coming months.
Signs of growth in October follow Beijing’s recent barrage of stimulus measures, unveiled in September, to help meet this year's 5% growth target.
Chinese policy leaders pledged "necessary fiscal spending", vowing to stabilise the property sector and support fiscal spending to counter the slowdown in the world's second largest economy.
