Investors are once again looking to the Chinese government to provide support despite some disappointing economic data, according to the New York-listed investment management giant.

Investors are focusing more on expectations for government stimulus than China's economic data, according to BlackRock.

Last week provided a mixed bag of Chinese economic statistics. New data revealed that Chinese exports tumbled 8.3 per cent over July, while producer price deflation drove wholesale prices down to their lowest point since 2009. Last week alone, exchange-traded products in emerging markets lost $800 million driven by weakness in China and India funds, according to the investment manager.

Meanwhile, the prospect of a September interest rate hike from the US Federal Reserve continued to put pressure on currencies in emerging markets, including Brazil, Indonesia and Malaysia.

China's domestic equity market, however, picked up amid hopes of government stimulus.

β€œA measure of Chinese manufacturing slid to a five-month low, but a gauge of the service sector was better-than-expected. Still, investors continue to pay more attention to government pronouncements,” said BlackRock's chief investment strategist, Russ Koesterich.

β€œChinese stocks rallied on Friday following comments from Chinese authorities that they have 'more ammunition'. Despite the stabilisation, international investors remain reluctant to commit new capital to this market.”

The mainland China stock market has, over the 12 months to 7 August, generated total returns (adding capital growth to reinvested dividends) of 54.7 per cent, according to the MSCI China A 50. However, that index is down 17.5 per cent over the latest three months. As for the MSCI Hong Kong Index, returns are 5.63 per cent over 12 months, and 9.32 per cent over the year to date. (Figures are in dollars.)