AlHijjah 29, 1435, Oct 23, 2014, SPA -- Asian stocks fell Thursday after China's factory output grew at the slowest pace in five months while European markets gained on a survey that showed an improvement in the region's business activity. European markets were mostly higher in morning trade. France's CAC-40 recouped earlier losses to be up 0.4 percent to 4,119.55 and Germany's DAX rose 0.5 percent to 8,983.94. But Britain's FTSE 100 lost 0.5 percent to 6,370.86. Futures indicated gains for Wall Street. A preliminary reading of China's massive manufacturing industry for October provided mixed messages. HSBC's factory purchasing managers index rose to 50.4 in October from 50.2 the previous month (figures above 50 indicate expansion) but the output sub-index slipped to a five month low. Oil prices extended losses after the U.S Energy Department reported an increase in oil inventories that was far larger than expected. Benchmark U.S. crude was down 7 cents at $80.45 a barrel in electronic trading on the New York Mercantile Exchange after falling $1.97 on Wednesday. In Asia, Japan's Nikkei 225 closed down 0.4 percent at 15,138.96 while Hong Kong's Hang Seng fell 0.3 percent 23,333.18. Seoul's Kospi shed 0.3 percent to 1,931.65 and Australia's S&P/ASX 200 dropped less than 0.1 percent to 5,383.10. China's Shanghai Composite was down 1.0 percent at 2,302.42. The euro rose to $1.2658 from $1.2646 late Wednesday. The dollar jumped to 107.52 yen from 107.16 yen.
