Asian Stocks Opened Higher
After Federal Reserve Chairman Jerome Powell said that the Federal Open Market Committee will be patient about raising interest rates in the coming period, which stimulated investors’ risk appetite in conjunction with the events of the second round of trade talks between Beijing and Washington in America.
In contrast, the Chinese economy, the world’s second-largest industrial nation, followed the readings of the Industrial and Service Purchasing Managers Index by the China Logistics and Purchasing Federation (CFLP), which reported contraction of the industrial sector to 49.5 versus 49.4 in the previous December reading, As opposed to expectations at 49.3, and the service sector expanded to 54.7 versus 53.8, beating expectations of 53.9.
In another context, we followed the Japanese economy on the release of the Bank of Japan‘s summary summary report in conjunction with the preliminary reading of industrial production, which showed a drop to 0.1% from 1.0% in November, beating expectations that the decline 0.5%. This came on the eve of the disclosure of the annual reading of houses that have been started, which may reflect a rise of 2.1% during the last month.
The second round of trade talks between the world’s top economists is on track, with Chinese Vice Premier Liu Hu on Wednesday and Thursday for the United States, his meeting with US Trade Representative Leftizer and Treasury Secretary Stephen Manuchen, and he is expected to meet later US President Donald Trump in a recent effort by both sides to avoid a global trade war.
Japan’s Nikkei 225 index gained 0.90% to hit 184.10 points, reaching a high of 20,740.64. The Nikkei 225 index rose 0.93% to 14.42 points and reached 1,565.18.
China’s indices rose, with the CSI 300 rising 1.11% to 35.27 points and reaching 3,203.75. The Shanghai Composite Index rose 0.83% and the other gained 21.34 points to 2,596.91.
Hong Kong’s Hang Seng Index gained 0.1.02% to 281.78 points to 27,924.63. South Korea’s Kospi Index rose 0.25% to 5.51 points, up to 2,211.71.
To the New Zealand NZX 50 index, which rose 0.63% to 56.21 points to 8,981.73. On the other hand, Australia’s S & P / ASX 200 index gained 0.18% and the other gained 10.60 points to reach 5,897.30.