ASIA-PAC EQUITY WRAP: Asian stocks were mostly positive after a fresh bout of strong Chinese PMI data and pause rhetoric from Fed's Bostic

Analysis details (05:38)

Asia-Pac stocks traded mostly higher amid tailwinds from the US where risk appetite was bolstered by comments from Fed's Bostic that they could be in a position to pause by mid-to-late summer and as the region also digested further strong Chinese Caixin PMI data. ASX 200 (+0.4%) was led by strength in telecoms healthcare and financials albeit with gains limited ahead of next week’s RBA meeting where the central bank is widely expected to hike again. Nikkei 225 (+1.6%) outperformed after recent data which showed Tokyo-area headline and core inflation began to soften and the Unemployment Rate edged lower, while a recent source report noted that the BoJ is to prefer watching how the impact of earlier policy tweaks works out for now. Hang Seng (+0.7%) and Shanghai Comp. (+0.1%) gained after strong Caixin Services and Composite PMI data which showed the fastest pick-up in activity since August. However, upside was capped heading into China’s ‘Two Sessions’ where participants will be eyeing a major overhaul of President Xi’s leadership team and the Government Work Report including this year’s official growth target, while US-China frictions continued to linger with the Biden administration adding 28 Chinese entities to the US trade blacklist.

03 Mar 2023 - 05:34- Fixed IncomeData- Source: Newsquawk