Looking Ahead in Asia

Soft data from the world’s second-largest economy could exacerbate global growth woes and weigh on markets this week.  Chinese foreign trade, foreign direct investment (FDI), consumer prices and producer prices for September are due and may raise debate about whether Beijing needs to implement additional stimulus measures.

Last week, global equity markets saw heavy selling after weak German factory output and exports sparked concerns over the euro zone’s sluggish recovery. If China’s monthly data deluge misses forecasts, risk-off sentiment will likely continue.

On Monday, China releases trade data. Economists polled by Reuters expect imports to fall 2.7 percent in value terms from a year earlier, which would be the biggest drop in six months. On the bright side, exports are seen rising 11.8 percent on year, up from 9.4 percent in August.


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