VL: Asian stocks mostly higher ahead of Chinese data
BEIJING (AP) — Asian stock markets were mostly higher Monday after weak Chinese trade data increased expectations that Beijing will launch new stimulus.
KEEPING SCORE: The Shanghai Composite Index added 1.8 percent to 4,107.12 and Hong Kong's Hang Seng added 1.6 percent to 27,705.42. Seoul's Kospi rose 0.5 percent to 2,098.92 and India's Sensex opened up 0.2 percent at 28,942.14. Singapore and New Zealand also rose. Sydney's S&P ASX 200 shed 0.1 percent to 5,960.30 and Tokyo's Nikkei 225 was unchanged at 19,905.46 after briefly passing 20,000 last week. On Wall Street, the Dow Jones industrials rose 0.6 percent on Friday and the Standard & Poor's 500 gained 0.5 percent.
CHINA'S DATA DUMP: Data showed trade shrank more than expected in March, with imports down 12.7 percent from a year earlier and exports falling 15 percent. That boosted stock markets by fueling expectations that Beijing might feel compelled to launch new stimulus in response to weaker-than-expected first-quarter economic growth. Forecasters say signs are mounting that growth in the first three months of the year, due to be reported Wednesday, might decline further from the previous quarter's 7.3 percent.
THE QUOTE: "The elephant in the room is whether China's deterioration has endured," following softer industrial output and other data in January and February, Mizuho Bank said in a report. "The silver lining is that a softer outcome under dis-inflationary conditions will allow more stimulus to propel a revival in growth."
JAPAN MACHINERY ORDERS: Orders declined 0.4 percent in February compared with January but still were above their average for the previous quarter, fueling hopes that business investment is rebounding. Spare capacity has declined in recent quarters, suggesting companies have to increase spending on machinery and equipment soon, according Marcel Thieliant of Capital Economics.
CURRENCY: The dollar rose to 120.3230 yen from Friday's 120.1800 yen. The euro edged up to $1.0597 from the previous session's $1.0586.
ENERGY: Benchmark U.S. crude added 18 cents to $51.82 per barrel in electronic trading on the New York Mercantile Exchange. The contract gained 85 cents on Friday to close at $51.64. Brent crude, used to price international oils, added 12 cents to $59.07 in London after rising $1.26 on Friday to $58.95.
