Asia-Pacific Markets Mixed Amid China’s Economic Outlook and Data Releases
Global Markets:
- Asian Stock Markets : Nikkei up 0.42%, Shanghai Composite up 1.86%, Hang Seng up 0.18% ASX up 0.47%
- Commodities : Gold at $2667.35 (0.14%), Silver at $31.60 (-0.54%), Brent Oil at $78.14 (-1.66%), WTI Oil at $74.68 (-1.52%)
- Rates : US 10-year yield at 4.107, UK 10-year yield at 4.2080, Germany 10-year yield at 2.274
News & Data:
- (USD) Core PPI m/m 0.2% vs 0.2% expected
- (USD) PPI m/m 0.0% vs 0.1% expected
- (CAD) Employment Change 46.7K vs 29.8K expected
- (CAD) Unemployment Rate 6.5% vs 6.7% expected
Markets Update:
Asia-Pacific markets showed mixed performance on Monday as investors reacted to China’s weekend press briefing and anticipated key economic data from the region throughout the week.
Mainland China’s CSI 300 index climbed 1.5% amid volatile trading, while Hong Kong’s Hang Seng index dropped by 0.4%. The Hang Seng Mainland Properties Index gained about 1%, while the Hang Seng Tech index declined by 1.6%.
In a significant press briefing, China’s Minister of Finance, Lan Fo’an, suggested the possibility of increased debt issuance to support the economy, mentioning the government had “ample” room to expand the deficit. Concerns over deflation in China intensified, with September consumer prices rising by just 0.4%—the slowest pace in three months. Additionally, the producer price index fell 2.8%, its fastest decline in six months, missing expectations from economists polled by Reuters.
China is set to release trade data for September, with exports expected to rise 6%, lower than the 8.7% growth in August. Imports are forecast to grow 0.9%, slightly up from August’s 0.5%. Investors are also watching for China’s third-quarter GDP, along with data on industrial output, retail sales, and unemployment.
Elsewhere, Japan’s market was closed for a holiday. Australia’s S&P/ASX 200 gained 0.44%, and South Korea’s Kospi rose 1%, though the Kosdaq index fell by 0.23%. In the U.S., stock futures remained flat as investors awaited key corporate earnings reports.
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