The financial markets are generally steady in spite of a batch of weak economic data from China. China's GDP grew 6.8% yoy in Q4, missing expectation of 6.9% yoy. For 2015 as a whole, the economy grew 6.9%, inline with expectation but missed the government's target of 7.0%. That's also the lowest pace since 1990. Industrial production rose 5.9% yoy in December, slowed from prior month's 6.2% yoy and missed expectation of 6.1% yoy. retail sales rose 11.1% yoy versus expectation of 11.3% yoy. Fixed assets investments rose 10.0% yoy versus expectation of 10.2% yoy.
At the timing of writing, both China SSE (L:SSE) composite and HK HSI are trading mildly higher. WTI crude oil is trading above 29 handle after dipping to as low as 28.36 yesterday. Gold is struggling in tight range around 1090. In the currency markets, majors pairs are staying in tight range for the moment with weakness seen in commodity currencies and sterling. Nonetheless, consolidative trading might continue for a while.
A major focus today is UK inflation data. CPI is expected to rise to 0.2% yoy in December while core CPI is expected to be unchanged at 1.2% yoy. PPI will also be featured in UK today. Any downside surprise could give sterling much pressure against Euro, yen and dollar. Elsewhere, Swiss will release PPI while Eurozone will release German ZEW. US will release NAHB housing index.