Mixed China data leave Asian shares stagnant
China’s lower-than-expected retail sales and strong industrial output drove Asian share markets flatly. Meanwhile, more evidence of global inflation pressures sent gold to a three-month high.
MSCI’s broadest index of Asia-Pacific shares outside Japan erased 0.2% gains, deviating far from its four-month high seen last week. Japan’s Nikkei plunged 0.7% to reach its lowest level since January. Meanwhile, Chinese blue chips bucked the trend with a 1.8% gain.
China’s strong industrial output failed to support investors’ enthusiasm as the country’s retail sales plunged below expectations. Meanwhile, gold recorded a three-month through at $1,852 an ounce. The increase was mainly from an increase in the dollar and inflation concerns, which put gold above its resistance of $1,845.