Asian shares rise on upbeat Chinese data, Japanese shares fall on rate hike bets By Investing.com
Investing.com- Most Asian stocks rose on Friday, boosted by gains in Chinese shares after strong economic data, while Japanese shares fell sharply on expectations of a rate hike next week.
Gains were limited as regional markets were cautious ahead of US President-elect Donald Trump’s inauguration next week.
Trump has promised to impose additional trade tariffs on Chinese exports, which should result in a potential trade war, last seen during Trump’s previous term.
Some regional markets mirrored Wall Street’s overnight decline. U.S. stock futures were also slightly lower in Asian hours on Thursday.
Chinese stocks rise on strong GDP and manufacturing data
China’s index rose 0.5% and the index gained 0.4%. The Hong Kong index gained 0.2 percent.
Chinese more than expected in the fourth quarter of 2024, bringing it to 5%, in line with Beijing’s 5% growth target, data showed on Friday.
Other data showed it rose more than expected in December as recent stimulus measures from Beijing continued to support business activity.
December was also stronger than expected, accelerating sharply from the previous month’s growth.
Following gains in the world’s second-largest economy, other regional stocks were also higher.
The Philippine index gained 0.5 percent, while the Indonesian index rose 0.6 percent.
A Japanese decision on interest rates is looming
The Japanese fell more than 1% on Friday, while it fell 0.7%.
Market focus for next week will be on January 23rd and 24th maturities, where rate hikes are expected.
BOJ Governor Kazuo Ueda said on Wednesday that a hike is possible if economic and price conditions continue to improve.
In corporate news, shares of Japanese video game giant Nintendo Co Ltd ( TYO: ) fell nearly 7% as investors appeared to be a little underwhelmed by the long-awaited reveal Switch (NYSE:) 2.
Elsewhere, Australia fell 0.2%, while Singapore gained 0.3%.
India’s index fell 0.5% on Friday.
South Korea’s index fell 0.2% lower, a day after the Bank of Korea kept its 3.00% level, contrary to widespread expectations for a 25 basis point cut.
