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Asia stocks mixed after China CPI data; Nikkei ends down 0.85%

Published 06/10/2014, 02:47 AM
Asia stocks end mixed after China inflation data
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Investing.com - Asian stock markets were mixed on Tuesday, after data showed consumer price inflation in China accelerated at the fastest pace in four months.

During late Asian trade, Hong Kong's Hang Seng rose 1%, China’s Shanghai Composite advanced 0.96%, Australia’s S&P/ASX 200 closed 0.10% higher, while Japan’s Nikkei 225 ended down 0.85%.

Asia was given a positive lead from the U.S., where the Dow Jones and S&P 500 closed at all-time highs, as increased merger-and-acquisition activity lifted sentiment.

Markets in mainland China and in Hong Kong were higher after data showed that consumer price inflation in China rose 2.5% in May from a year earlier, quickening from 1.8% in April. Producer price inflation declined 1.4%, compared to forecasts for a 1.5% drop.

Market watchers said the inflation in China was well within range and driven by a seasonal blip in pork prices and a low base comparison.

Meanwhile, in Tokyo, the Nikkei retreated from the previous day’s three-month high as investors booked profits on recent gains. The yen strengthened against the dollar, trading at ¥102.27 compared to ¥102.47 in the previous session.

Elsewhere, in Australia, the ASX/200 Index swung between small gains and losses after remaining closed for a public holiday on Monday.

The Australian dollar rose to a four-week high against the greenback. The (Aussie) strengthened to 93.75 U.S. cents, the most since May 15, from 93.41 cents in the prior session.

Looking ahead, European stock market futures pointed to a steady open, as traders continued to digest the implications of last week's monetary easing move by the European Central Bank.

The Euro Stoxx 50 futures pointed to a gain of 0.1% at the open, France’s CAC 40 was flat, London’s FTSE 100 indicated a decline of 0.2%, while Germany's DAX futures slumped 0.1%.

Across the Atlantic, U.S. equity markets pointed to a weaker open. The Dow futures pointed to a loss of 0.1%, the S&P 500 dipped 0.2%, while the Nasdaq 100 indicated a decline of 0.2%.

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