Hong Kong stocks led Asia-Pacific markets higher Wednesday after upbeat economic data from China. A soft U.S. inflation reading also boosted hopes of the Federal Reserve nearing the end of its interest rate-hiking cycle.
Beijing reported better-than-expected retail sales and industrial data for October. Retail sales grew by 7.6% last month from a year ago, above the 7% growth forecast by a Reuters poll. Industrial production rose 4.6% year-on-year in October, faster than the 4.4% pace predicted by the Reuters poll.
U.S. CPI was flat in October, against economists expectations of 0.1% rise month over month.
Data showed Japan’s economy shrank during the third quarter for the first time in four quarters, amid slowing global demand and rising domestic inflation. Japan’s provisional gross domestic product fell 2.1% in the third quarter compared to a year ago, against a Reuters poll estimate of a 0.6% decline.
On the geopolitical front, U.S. President Joe Biden and China’s President Xi Jinping are expected
Hong Kong’s Hang Seng index jumped 3.77% to its highest level in over one week, while the Hang Seng Tech index surged 4.28%.
Mainland China’s CSI 300 index advanced 0.70%, rising for the second day to close at 3,607.25.
Japan’s Nikkei 225 closed 2.52% higher at 33,519.70. The Topix rose 1.19% to 2,373.22 to end at its highest level in nearly two months.
South Korea’s Kospi added 2.20% to close at 2,486.67, and the Kosdaq gained 1.91% at 809.36.
In Australia, the S&P/ASX 200 closed 1.42% to an eight-week high at 7,105.90.
U.S. stocks rallied Tuesday, building on their strong November gains, as Wall Street cheered the soft U.S. inflation report.
The Dow Jones Industrial Average jumped 1.43%. The S&P 500 rallied 1.91%, briefly trading above the key 4,500 level, to settle at 4,495.70. It was the best day since April for the broad-market index. The Nasdaq Composite jumped 2.37%.
Source : CNBC