Asian markets mostly gained in early trading Wednesday after data showed improving services-sector activity in China last month. Markets started the day near session lows following Wall Street’s stumble after poor U.S. manufacturing data raised recession fears.
The private Caixin China services purchasing managers index rose to 52.1 in August from 51.6 in July, according to the Wall Street Journal. Data suggested that domestic demand was stronger than foreign demand and an employment measurement jumped.
On the trade-war front, tariff hikes by both the U.S. and China went into effect over the weekend, and President Donald Trump on Tuesday urged China to make a deal soon, since he said terms will be even tougher if he is reelected in 2020. CNBC reported Tuesday that Trump was so angered last month when he learned that China would raise tariffs on U.S. products in retaliation for fresh U.S. tariff hikes that he wanted to double tariffs on Chinese goods. He was reportedly talked out of it after top advisers warned of the effect that could have on the economy and the stock market.
was last about flat, and Hong Kong’s Hang Seng Index
jumped 1.4%. The Shanghai Composite
rose 0.2% while the Shenzhen Composite
fell 0.1%. South Korea’s Kospi
gained 0.2%, while benchmark indexes in Taiwan
were mixed. Australia’s S&P/ASX 200
Among individual stocks, Nissan
and Mitsubishi Motors
sank in Tokyo trading after industry data found auto sales in South Korea fell sharply amid a consumer boycott against Japanese goods. Fast Retailing
gained. In Hong Kong, casino operator Galaxy Entertainment
and property developers New World
and Country Garden
rose. Chip maker SK Hynix
jumped in South Korea, and Beach Energy
sank while Oil Search
surged in Australia.