Stocks in Asia Pacific were higher on Monday as data releases showed China’s factory activity expanding in May.
In Tokyo, the Nikkei 225 regained 184.5 points, or 0.2%, to 21,877.89, as shares of index heavyweight and conglomerate Softbank Group jumped 3.9%.
The Japanese yen traded at 107.41 per U.S. dollar after seeing turbulent moves last week as it swung from levels above 107.7 to about 107.1.
The Hang Seng index in Hong Kong more than made up for heavy losses last week, rocketing 771.05 points, or 3.4%, to 23,732.52, with shares of life insurer AIA soaring 5.2%. U.S. President Donald Trump announced Friday he would be taking action to eliminate special treatment for Hong Kong, following China’s approval of a controversial national security bill for the city.
Korea also enjoyed substantial gains, amid media reports that the country’s exports in May fell 23.7% year-on-year. That was worse than expectations in a poll of a median drop of 22.1% year-on-year.
In Australia, stocks celebrated hefty gains. The Australian dollar changed hands at $0.674 following its rise from levels below $0.655 in the previous trading week.
CHINA
In Shanghai, the CSI 300 jumped 104.32 points, or 2.7%, to 3,971.34.
Investor focus on Monday was likely on Chinese economic data for a better gauge of the state of the country’s economic recovery from the coronavirus pandemic.
Data released over the weekend by China’s National Bureau of Statistics showed factory activity in the country expanding in May, with the official manufacturing Purchasing Manager’s Index (PMI) coming in at 50.6. That was a decline from the 50.8 print in April and below the 51.0 level expected by analysts. Still, the figure for May was above the 50 level, which separates expansion from contraction in PMI readings.
Meanwhile, a private survey also showed China’s manufacturing activity expanding in May. The Caixin/Markit manufacturing PMI for May came in at 50.7. That was higher than a 49.6 print expected by analysts.
In other markets
Markets in New Zealand were shuttered for holiday.
In Korea, the Kospi gained 35.48 points, or 1.8%, to 2,065.08
In Taiwan, the Taiex index added 136.86 points, or 1.3%, to 11,079.02
In Singapore, the Straits Times Index reattached 40.11 points, or 1.6%, to 2,550.86.
In Australia, the ASX 200 recovered 83.46 points, or 1.1%, to 5,819.15.
