British News Agency

According to analysts, investors are pricing in an 87.4% chance of a quarter-point rate cut at the Fed’s December 10 meeting. Hong Kong’s Hang Seng Index opened 0.13% lower, while mainland China’s CSI 300 Index rose 0.28%.

A private survey published Monday showed that China’s factory activity unexpectedly contracted in November as weak domestic demand continued to pressure the world’s second-largest economy.

The RatingDog China General Manufacturing PMI conducted by S&P Global fell to 49.9 in November, missing analysts’ expectations of 50.5. Readings above 50 indicate expansion; below 50 indicate contraction.

Official data released Sunday indicated that China’s factory activity edged up to 49.2 in November but remained in contraction for the eighth consecutive month. Services weakened as the impact of earlier holidays faded.

According to a statement by the People’s Bank of China, shares of companies listed in Hong Kong with exposure to digital assets fell after warnings of renewed illegal activity and speculation linked to digital currencies.

Shares of Yunfeng Financial and Bright Smart Securities & Commodities Group, backed by Alibaba founder Jack Ma, dropped more than 7%, while Guotai Junan slipped as much as 3%.

Japan’s Nikkei 225 index fell 1.3%, and the Topix index dropped 0.72%. Among the biggest decliners were Fujikura (-8.11%), Sumitomo Pharma (-5.82%), and Advantest (-4.74%). South Korea’s Kospi lost 0.66%, while the small-cap Kosdaq gained 1.29%. Australia’s ASX/S&P 200 index declined 0.23%.