Asian equities were mostly higher on Monday as investors brushed off weak data, with China’s benchmark index rising to a three-year high.
revealed a sharp slowdown in November exports and imports. Still, the country’s trade surplus rose to $54.5 billion, beating estimates.
“Overall, this data is likely to drive stimulus expectations. Investors are hoping to see an RRR cut and with a raft of releases out of China this week, any disappointment will drive these expectations higher,” said Stan Shamu, market strategist at IG.
Meanwhile, Japan’s revised third-quarter gross domestic product (GDP) showed the economy shrank more than initially estimated, with growth.
A strong lead from Wall Street also boosted sentiment.on Friday after U.S. employers created 321,000 jobs last month, the largest gain since January 2012.
Shanghai up 2.8%
China’s benchmark index crossed the 3,000 level for the first time since April 2011, gaining for a fifth straight session. For the week that ended Friday, therallied over 9 percent, its best weekly performance in five years, according to Reuters.
Brokerages outperformed with Hong Yuan Securities, CITIC Securities and Haitong Securities surging by the daily 10 percent limit.
Hong Kong’s benchmarkrose to a one-and-a-half-week high, extending gains into a third session.
ASX 0.7% higher
Australia’s benchmarkalso ended at a one-and-a-half-week high, while the pared losses after hitting a fresh four-year low of $0.8272.
Banks rallied after areleased over the weekend recommended an increase in capital requirements; led gains by 2 percent.
surged 14 percent after announcing that it expects to post its best first-half profit in four years, expecting a figure between A$300 million and A$350 million.
Japanese shares pared gains after breaching the 18,000 level but the index still closed at a new seven-and-a-half-year high while themoved off a seven-year trough of 121.84 per dollar hit in early trade.
Electronic exporters weighed down the benchmark, with and down 3 percent each.
Kospi dips 0.4%
South Korean shares retreated after ending at a two-month high on Friday. Among heavyweights on the benchmark, and steelmaker dropped 1 percent each.