Stocks gain after China cuts trade tariffs, solid US data

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Asian stocks edged up on Thursday, a day after U.S. S&P 500 hit a record peak following encouraging economic data, while investors keep a wary eye ...

TOKYO: Asian stocks edged up on Thursday, cheered by record closes in Wall Street benchmarks after encouraging economic data, and after China announced a cut in tariffs on some imported goods from the United States.

"But at the same time, that they did this now points to their desire to support Chinese companies as the coronavirus epidemic will obviously deal a huge blow to China's growth," he added.Mainland shares have also drawn support from Beijing's efforts to support the market amid heightened anxieties about the coronavirus, including liquidity injections and de facto restrictions on selling.

The ADP National Employment Report showed private payrolls jumped 291,000 jobs in January, the most since May 2015, while a separate report showed U.S. services sector activity picked up last month. Both indicators suggest the economy could continue to grow this year even as consumer spending slows. "Despite all the efforts by the Communist Party, the virus is becoming a major global disaster. Considering workers usually start to return to hometown about a week before the Lunar New Year, many patients must have left Wuhan before its lockdown on Jan. 23," TS China Research's Tashiro said.

 

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