Investing.com – Asian stocks were mixed on Friday on the first working day after Chinese lunar holiday break over falling Chinese PMI and the uncertainty about U.S. job data.
The Chinese HSBC Services Purchasing Managers’ Index fell to 50.7 in January from 50.9 in December. According to HSBC chief economist for China Qu Hongbin, the fall is due to "soft manufacturing growth and the impact of Beijing's latest measures to curb official extravagance."
In Japan Ministry of Finance reported on Friday that country’s foreign reserves rose to USD1,277 billion in January from USD1,266 billion in December.
Japan Bridge rose 2.3%, K's Holdings was up 9.5%, Mitsubishi UFJ Lease rose 6.4% and Suzuki Motor was also up 2.2%.
Nikkei rose 1.79%, Shanghai fell 0.23% and Hang Seng was up 0.74%.
On Thursday U.S. stocks shot up after data revealed the number of individuals filing for unemployment assistance fell more than expected last week, which fueled hopes that the January jobs report due out on Friday will point to an economy that is still recovering despite harsh winter weather.
Stocks posted strong gains after data revealed that the number of individuals filing for unemployment assistance in the U.S. fell more than expected last week.
The Labor Department said initial jobless claims fell by 20,000 to 331,000 from the previous week’s revised total of 351,000. Analysts were expecting jobless claims to fall by 16,000.
The numbers rekindled perceptions that the U.S. economy continues to recover and that a recent factory report that disappointed markets was likely the product of a string of winter storms that disrupted commerce.
Investors were turning their attention to Friday’s U.S. nonfarm payrolls report for January, hopeful the report will show the economy continues to improve despite recent blizzards that pummeled the eastern half of the country.
A separate report showed that the U.S. trade deficit widened significantly in December, as exports dropped 2.2% and imports rose 1.6%, though still, the session was void of bad news, which put to rest fears the U.S. economy is hitting a soft patch.