HONG KONG (Reuters) – Asian stock markets were generally positive on Tuesday after China’s exports rose sharply in March and imports returned, giving investors the heart that domestic demand is improving as part of the pandemic recovery .
The broadest MSCI index for Asia-Pacific equities outside of Japan traded up 0.4% on Tuesday, after opening less than 0.1%.
In Australia, the S & P / ASX200 declined the regional trend and was steady, while the Japanese Nikkei rose 1.1% in the afternoon session.
Hong Kong’s Hang Seng Index added nearly 1%, while the CSI300 continental blue team index rose 0.5% and strengthened after the March trading figures were released.
The KOSPI 200 index in South Korea doubled its early gains to increase by 1%.
China’s dollar exports rose 30.6% in March from a year earlier, while imports rose 38.1% from the same period last year, figures released on Tuesday show.
Imports have grown at the fastest pace in four years, which analysts say indicates a post-pandemic recovery in Chinese domestic demand.
“China is benefiting from its ‘first-in-first’ recovery growth, but the global economy is also accelerating and growing, which will slow some of China’s export performance in the coming quarters,” said John Woods, Asia Pacific’s chief investment officer. Swiss officer.
Trade data helped transform a weaker tone, which was evident earlier in Asia after the Wall Street falls overnight.
In the United States, the Dow Jones industrial average fell 55.2 points, or 0.16%, to 33,745.4, the S&P 500 lost 0.81 points, or 0.02%, to 4,127.99, and The Nasdaq Composite fell 50.19 points, or 0.36%, to 13,850.00.
Federal Reserve Bank of Boston President Eric Rosengren said Monday that the US economy could see a significant recovery this year due to weaker money and fiscal policy, but the country’s job market is still facing weakness.
He said that with inflation still below the central bank’s 2% target rate, the current “very accommodative” monetary policy position remained appropriate.
US inflation data for March is set to be released later in the day.
The dollar rose nearly a three-week low against major rivals on Tuesday, supported by a rise in Treasury yields as traders waited for highly anticipated inflation data.
Sat Duhra, Singapore-based portfolio manager at Janus Henderson Investors, said inflation is expected to be temporary and there will be a long period of steady growth and low inflation following a rapid recovery of the pandemic. He also expects the rotation from growth and momentum stocks to value-based stocks to persist.
“The spread between stock yields and bond yields is still respectable and very interesting,” Duhra said.
“The gap in valuations between growth and stocks is so great that there is still a way to continue. It’s not just rotation for her sake. ”
The 10-year benchmark yield was 1.6943% in the Asian session, staying below a 14-month high of 1.776% on March 30th.
Scott Murdoch’s report to Hong Kong; Edited by Stephen Coates and Simon Cameron-Moore