Asian Stock Markets Higher Despite Soft Chinese Data

Asian shares edged up on Monday in cautious trade, brushing off soft economic data from China, as investors looked to whether the U.S. Federal Reserve is confident enough to raise interest rates for the first time in a decade.

U.S. stock futures ESc1 rose 0.4 percent from late U.S. levels in early Asian trade while Japan’s Nikkei .N225 rose 0.4 percent. MSCI’s broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS gained 0.3 percent.

Data published at the weekend showed growth in China’s investment and factory output missed forecasts in August, raising the chances that China’s third-quarter economic growth may dip below 7 percent for the first time since the global crisis.

The data add to expectations that Beijing will respond with more measures to prop up the economy.

via Reuters

Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza