Asian markets staged a strong recovery at the start of the month, driven by a rebound in Wall Street and strong factory activity data from China. Investors are cautiously awaiting US President Donald Trump’s trade tariff decision due this week, with uncertainty over tariffs signaling potential softer measures.
US stocks ended higher last Friday, as the PCE inflation came in line with expectations, while Asian markets had slumped in the previous session following a sell-off on Wall Street and negative news from China. However, Commerce Secretary Howard Lutnick’s statement that Trump will determine exact tariff levels on Tuesday has provided some respite to Asian markets.
On Monday, Japan’s Nikkei 225 rose 1.4%, while Hong Kong’s Hang Seng index jumped 1.8%. Indonesia’s Jakarta Stock Exchange Composite Index and the Philippines’ PSEi Composite also gained, with Australia’s S&P/ASX 200 index rising 0.6%.
China’s Shanghai Composite and Shanghai Shenzhen CSI 300 indexes rose 0.7% and 0.8%, respectively, following strong PMI data that showed Chinese manufacturing activity grew more than expected in February.
The upcoming ‘Two Sessions’ meetings in China will be closely watched by investors for signals on the country’s economic direction and potential stimulus measures. Analysts expect China to stick with its 5.0% GDP goal while providing details on fiscal and monetary policies.
Source: https://www.investing.com/news/stock-market-news/asia-stocks-jump-after-steep-losseschina-shares-gain-on-strong-pmi-3901384