Asian stocks mixed, ECB predicts ''gradual'' eurozone recovery

HONG KONG: Asian stocks were mixed in early trade Monday after conflicting Chinese manufacturing data, and as European central bank chief Mario Draghi predicted a "very gradual recovery" in the eurozone to start later this year.

Tokyo was down 2.17 percent by the break, continuing volatile trading after rising Friday following several sharp drops.

Hong Kong was up 0.27 percent, Shanghai rose 0.24 percent, Seoul was down 0.14 percent and Sydney was flat, edging up 0.09 percent.

The movements came after data released Saturday showed manufacturing activity in China unexpectedly rebounded in May from the previous month.

The purchasing managers' index (PMI) grew to 50.8 in May, from 50.6 the month before, according to the National Bureau of Statistics, pointing to a stabilisation in the world's second largest economy.

However, according to figures from British bank HSBC Monday, manufacturing activity fell to an eight-month low in May. It said the PMI fell to 49.2 in May, down from 50.4 in April.

A reading above 50 indicates expansion while anything below that points to contraction.

Markets were also eyeing a financial conference in Shanghai, where Draghi said the ECB expected a recovery in the debt crisis-hit eurozone to start later in the year.

View the original article here

Asian stocks mixed after upbeat US data

HONG KONG: Asian shares were mixed Wednesday after upbeat US economic data sent Wall Street soaring to a fresh all-time high and pushed the greenback to notch up strong gains against the yen.

Trading remained volatile in Tokyo, with the Nikkei swinging between positive and negative territory before edging up 0.10 percent by noon.

Japanese stocks have made sharp intraday movements since the index plunged 7.3 percent last Thursday as investors rushed to book profits after poor Chinese manufacturing data.

In other markets, Hong Kong was down 0.71 percent, Seoul was up 0.54 percent, Shanghai gained 0.18 percent while Sydney traded flat.

In post-holiday New York trading the Dow Jones Industrial Average closed up 0.69 percent at 15,409.39, a new all-time high on strong gains in US home prices and consumer confidence.

The widely watched S&P/Case-Shiller index of US home prices showed the price of a home in the 20 largest cities rose 10.9 percent in the year to March, the largest year-on-year increase since 2006.

Consumer confidence in the US -- a key barometer of the health of the world's largest economy -- surged to 76.2 in May, up from 69.0 in April, hitting the highest level since February 2008.

Stocks were also boosted by indications of continued monetary policy support, with some market watchers expressing confidence that the US Federal Reserve would maintain its bond-buying program.

View the original article here

Dollar under pressure in Asia after mixed data

TOKYO: The dollar was mixed in Asian trading on Monday as it faced pressure from data that showed US consumer spending was down in April although shoppers' confidence climbed.

The greenback gained on the yen as Tokyo's Nikkei 225 stock index pared back some of its early losses. The index is closely linked with the yen as the currency's value affects the profitability of Japanese exporters.

Credit Agricole said dollar strength was likely to continue.

"We expect USD/JPY downside to be increasingly limited and stick to the view that the pair will ultimately resume its uptrend," it said.

In Tokyo morning trade, the dollar bought 100.67 yen, gaining from 100.37 yen in New York late Friday, while the euro was also stronger against the Japanese currency at 130.89 yen from 130.44 yen last week.

Against the dollar, the European single currency was slightly stronger at $1.3004, from $1.2996 in US trading.

On Friday, the US Commerce Department reported that consumer spending dropped by 0.2 percent in April, the first monthly fall since May 2012 and a signal that growth slowed at the beginning of the second quarter.

View the original article here