SINGAPORE — Stocks in mainland China surged as they returned to trade on Friday from holidays.
In early trade, the Shanghai composite jumped 1.34% while the Shenzhen component gained 2.248%.
The moves came as a private survey showed services sector activity in China expanding in September. The Caixin/Markit services Purchasing Managers’ Index for September came in at 54.8. PMI readings above 50 signify expansion, while those below that level indicate contraction.
Data out of China has been watched for clues on the state of the country’s economic recovery from the coronavirus pandemic.
Over in Hong Kong, the Hang Seng index dipped 0.15%. Shares of biopharmaceutical startup Everest Medicines jumped about 30% from their issue price in the opening moments of the market debut in the city. The stock later pared some gains but were still trading more than 25% higher.
In Japan, the Nikkei 225 dipped 0.1% while the Topix index was 0.49% lower.
Meanwhile, shares in Australia nudged lower, with the S&P/ASX 200 down 0.14%.
MSCI’s broadest index of Asia-Pacific shares outside Japan traded 0.14% higher.
Markets in South Korea and Taiwan are closed on Friday for holidays.
Investor focus was also likely be on ongoing developments regarding potential new fiscal stimulus stateside. House Speaker Nancy Pelosi and Treasury Secretary Steven Mnuchin spoke on Thursday about a broad coronavirus stimulus plan, after U.S. President Donald Trump pulled out of talks earlier in the week and called for stand-alone bills.
Currencies and oil
The U.S. dollar index, which tracks the greenback against a basket of its peers, was at 93.486 after seeing levels around 93.9 earlier this week.
The Japanese yen traded at 105.84 per dollar. having weakened this week from levels below 105.6 against the greenback. The Australian dollar changed hands at $0.7179, in a week that has seen it bouncing from levels below $0.712.
Oil prices were lower in the morning of Asian trading hours, with international benchmark Brent crude futures down 0.12% to $43.29 per barrel. U.S. crude futures were also 0.12% lower at $41.14 per barrel.
Source: CNBC