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 Tuesday, U.S. stocks slipped after a key gauge of the manufacturing sector signaled the first contraction of activity in three years.

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.

Japan’s Nikkei

NIK, +0.12%

  was last about flat, and Hong Kong’s Hang Seng Index

HSI, +4.09%

  jumped 1.4%. The Shanghai Composite

SHCOMP, +0.93%

  rose 0.2% while the Shenzhen Composite

399106, +0.67%

  fell 0.1%. South Korea’s Kospi

180721, +1.16%

 gained 0.2%, while benchmark indexes in Taiwan

Y9999, +0.94%

 , Singapore

STI, +1.45%

 , Malaysia

FBMKLCI, +0.51%

  and Indonesia

JAKIDX, -0.07%

  were mixed. Australia’s S&P/ASX 200

XJO, -0.31%

  fell 0.5%.

Among individual stocks, Nissan

7201, -1.74%

  and Mitsubishi Motors

7211, -2.45%

  sank in Tokyo trading after industry data found auto sales in South Korea fell sharply amid a consumer boycott against Japanese goods. Fast Retailing

9983, +0.87%

  and Nintendo

7974, +2.59%

  gained. In Hong Kong, casino operator Galaxy Entertainment

27, +6.22%

  and property developers New World

17, +10.70%

  and Country Garden

2007, +6.73%

  rose. Chip maker SK Hynix

000660, +3.90%

  jumped in South Korea, and Beach Energy

BPT, -1.65%

  sank while Oil Search

OSH, +3.29%

  surged in Australia.

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