ASIA-PAC EQUITY WRAP: Asian stocks were mostly higher after strong Chinese PMI data which showed factory activity expanded at the fastest pace in more than a decade

Analysis details (05:35)

Asia-Pac stocks were mostly positive as the region digested a slew of data releases including weaker GDP growth and softer CPI in Australia, as well as the fastest pace of expansion for Chinese Manufacturing PMI in over a decade. ASX 200 (-0.1%) was initially pressured by weakness in telecoms and financials, but later pared the losses as the miss on Q/Q GDP for Q4 and softer-than-expected monthly CPI data effectively eased some of the hawkish pressure on the RBA. Nikkei 225 (+0.3%) lacked firm direction with price action confined to a narrow range around the 27,500 level. Hang Seng (+3.3%) and Shanghai Comp. (+0.7%) were supported by the blockbuster official Chinese PMI data which printed its highest since April 2012 and Caixin Manufacturing PMI also returned to expansion territory. Furthermore, a surge in tech spearheaded the outperformance in Hong Kong, while advances in the mainland were somewhat moderated by US-China frictions as the Biden administration considers revoking export licenses issued to US suppliers for sales to Huawei and with the US also barring chipmakers from expanding capacity in China for 10 years if they are to receive some of the federal funding from the CHIPS Act.

01 Mar 2023 - 05:33- Data- Source: Newsquawk