Asian markets see rise after European deals and Chinese growth
Monday, April 2nd, 2012 9:23:54 by Hamza Jahangir
Asian markets mostly rose Monday following strong manufacturing figures from China and after euro zone finance chiefs agreed to boost the region’s firewall against future debt crises. The yen eased against the dollar and euro as
traders moved out of the safe-haven currency in the wake of the optimistic news while strong US consumer spending data also provided support.
Tokyo was 0.79 percent higher by the break as the softer yen cushioned results of the closely watched Tankan survey, which showed confidence among major manufacturers remained weak.
Sydney gained 0.25 percent and Seoul added 0.15 percent, but Hong Kong slipped 0.35 percent. Shanghai was closed for a public holiday. China said Sunday that manufacturing activity last month hit its highest level since March last
year, tempering recent concerns of a sharp slowdown in the world’s number two economy.
The official purchasing managers index (PMI) rose to 53.1 from 51 in February, helped by an increase in new orders, the China Federation of Logistics and Purchasing said. The figure marks the fourth straight rise. A reading above
50 indicates expansion, while a reading below 50 suggests contraction.
A separate PMI by HSBC showed continued contraction but the official data provided some respite after recent depressing figures including a huge trade deficit in February. The “Chinese PMI should ensure risk appetite starts the
quarter on the front foot,” said Mike Jones, currency strategist at Wellington-based BNZ.
“The data should help dispel lingering fears of a Chinese hard landing,” he added, according to Dow Jones Newswires. On Friday euro zone finance ministers meeting in Copenhagen agreed to boost their firewall against another debt
crisis to about 800 billion Euros ($1.1 trillion).
Tags: China, crisis, economy, EU
Short URL: https://www.newspakistan.pk/?p=17911
Posted by Hamza Jahangir
on Apr 2 2012. Filed under Latest News, World.
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