China’s third-quarter economic growth slowed more than expected and to its weakest pace in almost three decades as the bruising US trade war hit factory production, boosting the case for Beijing to roll out fresh support.

The Chinese economy grew just 6pc year-on-year, marking a further loss of momentum from 6.2pc growth in the second quarter.

China’s trading partners and investors are closely watching the health of the world's second-largest economy as the trade war with the US fuels fears about a global recession.

Asian stocks stumbled after the data, reversing gains made on the UK and European Union striking a long-awaited Brexit deal.

The disappointing Chinese data came as Japan's core inflation slowed to near 30-month lows in September, raising expectations that the Bank of Japan could add to its already massive monetary stimulus. The Nikkei rose 0.2pc. In Hong Kong, the Hang Seng index eased 0.6 percent.

Sterling, which had enjoyed its biggest rising streak since October 1985 and hit a five-month high on the back of the Brexit deal, gave up ground on Friday morning amid doubts that the agreement would receive parliamentary approval. The pound eased 0.31pc to $1.2848.

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InterContinental Hotels will issue a trading statement, and the backdrop is “hardly favourable”, says Hargreaves Lansdown’s Emilie Stevens. As well as a broad exposure to a slowdown in the Chinese economy, the company is likely to have felt an impact from the continued disruption caused by protests in Hong Kong. InterContinental has been focused on expansion, but needs to prove it can fill rooms as well as build them.

Full-year results: Dechra Pharmaceuticals

Trading statement: London Stock Exchange Group, InterContinental Hotels

Economics: IMF meeting