From Yahoo Finance: 2024-05-09 02:20:38

Asian shares had a mixed performance as Chinese trade data boosted China stocks, while the yen stabilized. Europe prepared for a subdued open, awaiting an interest rate decision from the Bank of England. All eyes are on the potential for a June rate cut after Sweden’s rate cut. MSCI’s index in Asia-Pacific slipped slightly but remained near a 15-month high.

Chinese customs data showed a jump in imports by 8.4% in April, surpassing expectations, with exports also meeting forecasts. This positive data prompted a rise in Chinese shares, especially in the property sector, as restrictions on home purchases in Hangzhou were lifted. Property shares surged 2.5% on the news.

Import demand in China remains strong, particularly in data-processing equipment and integrated circuits. However, there may be a higher level of risk for exports in the coming months, which could impact economic growth contributions from trade in the second quarter. Japan’s Nikkei and Australia’s stock market experienced declines, with Nasdaq futures also easing.

The Japanese yen steadied after a series of declines, with expectations of intervention by Japanese authorities. Market participants are closely watching the comments from Japan’s top currency diplomat on intervention reserves. Real wages in Japan fell in March, suggesting a cautious approach to aggressive rate hikes. Treasuries yields were stable, with oil prices and gold prices rising slightly.

Oil prices bounced back, with Brent futures up 0.4% and U.S. crude gaining 0.5%. Gold prices also increased by 0.3%. Investors are anticipating the U.S. inflation report due next week. Markets are set for muted movements ahead of the report.



Read more at Yahoo Finance: China outperforms Asian shares on solid trade data, BOE in focus