Asian markets were mixed in early trading Tuesday, after Wall Street rebounded from a rough week and China indicated its economic recovery sped up last month.
Japan’s Nikkei 225 /zigman2/quotes/210597971/delayed JP:NIK -0.71% fell 0.6% while Hong Kong’s Hang Seng index /zigman2/quotes/210598030/delayed HK:HSI -1.25% rose 0.6%. The Shanghai Composite /zigman2/quotes/210598127/delayed CN:SHCOMP -0.70% advanced 0.3% and the smaller-cap Shenzhen Composite /zigman2/quotes/210598015/delayed CN:399106 -0.40% gained 0.5%. South Korea’s Kospi /zigman2/quotes/210598069/delayed KR:180721 -1.50% rose 0.6% while benchmark indexes in Taiwan /zigman2/quotes/210597977/delayed TW:Y9999 -1.07% , Singapore /zigman2/quotes/210597985/delayed SG:STI -0.71% and Indonesia /zigman2/quotes/210597981/delayed ID:JAKIDX -0.31% were mixed. Australia’s S&P/ASX 200 /zigman2/quotes/210598100/delayed AU:XJO -1.40% was flat.
China reported Tuesday that retail sales returned to growth in August for the first time in 2020, rising 0.5% year over year. Industrial production also rose 5.6%, up from the previous month and topping analysts’ estimates.
“The activity data is about as strong a signal one could expect and will continue to support the steady economic growth recovery,” Stephen Innes, chief global markets strategist at AxiCorp, wrote in a note. “Assuming that COVID -19 remains under control in China, it should be safe to say activities will recover further amid supportive policies paving the way for a continuing and convincing growth rebound.”
Investors are also awaiting economic projections from the U.S. Federal Reserve at its policy meeting on Wednesday.
On Monday, the Dow Jones Industrial Average /zigman2/quotes/210598065/realtime DJIA -3.43% rose 327.69 points, or 1.2%, to finish at 27,993.33, after briefly trading above the 28,000 threshold. The S&P 500 /zigman2/quotes/210599714/realtime SPX -3.53% added 42.57 points, or 1.3%, closing at 3,383.54. The Nasdaq Composite /zigman2/quotes/210598365/realtime COMP -3.73% climbed 203.11 points, or 1.7%, to end at 11,056.65, snapping a two-session losing streak.