Asian equity markets rose on Wednesday as traders welcomed a better than expected growth report from the world’s second biggest economy.
China’s economy grew an annual 7.4 percent in the first quarter of this year, above analyst expectations for a 7.3 percent increase, but still slower than the 7.7 percent reading in the final quarter of 2013.
“Chinese growth remains on track to come in around 7.5 percent this year. This should be positive for the Chinese share market, which with a forward PE of 8.5 times is priced for a hard landing and credit crisis. It is also likely to be supportive for Australian resources stocks,” said Shane Oliver, head of investment strategy and chief economist at AMP Capital.
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