In today’s trading, Asian stocks continue to show mixed performance as investors contended with weak economic data from China and awaited the results of a major Communist Party policy meeting in Beijing. In addition, Dow Jones Industrial Average went up setting a new record.
After being closed for the holiday yesterday, Nikkei 225 went up by 0.2% to 41,275.08. In contrast, Hong Kong’s Hang Seng index declined by 1.4% to 17,760.36, and the Shanghai Composite index fell 0.1% to 2,970.94.
Markets were still processing weaker economic data from China released on Monday, which showed that annual economic growth had decreased from 5.3% in the first quarter to 4.7% in the April to June quarter.
As a result, some economists adjusted their growth forecasts. Goldman Sachs revised its forecast for China’s annual economic growth to 4.9% from a previous estimate of 5.0%. JP Morgan lowered their full-year outlook for China’s 2024 GDP growth to 4.7% from an earlier projection of 5.2%.
Additional policies will be unveiled during this week’s four-day economic meeting, a closed-door plenary session of the ruling Communist Party. This meeting is expected to establish strategies and policies for the coming decade, aligning with leader Xi Jinping’s initiative to promote advancements in future technologies.
South Korea’s Kospi increased by 0.2% to 2,865.21, while Australia’s S&P/ASX 200 dipped by 0.2% to 7,999.30.
Furthermore, Asian markets remain cautious as they navigate the potential impact of US political developments and economic data from China. Investors closely monitor central bank decisions and currency movements as they manage their portfolios amid global uncertainties.
