(menafn – ecpulse)
Although investors are getting more cautious ahead of the start of the earnings season and China’s slowdown forecasts, gains were seen across Asia as worries over Europe eased.
The World Bank cut its estimate for China’s growth in 2012 to a 13-year low at 8.2% compared with January’s projections of 8.4%, as demand on exports is seen easing and domestic investment and consumption is seen decelerating.
Yet the MSCI Asia Pacific Index advanced 0.3% at 13:20 in Tokyo, and commodities rose after Citigroup recommended buying industrial shares while jobs jumped in Australia and conservatives won the parliamentary elections in South Korea.
More upside pressures were given by the eased fears over Europe’s debt crisis, after an ECB official suggested on Wednesday the bank may act to prevent the debt crisis from spreading and support Spain by restarting a bond purchasing program.
Meanwhile, employment in Australia jumped 44,000 during the month of March while the unemployment rate stayed at 5.2%. This outcome combined with higher commodity prices and expectations rates will be cut in May, boosted shares.
Data today also include UK’s trade balance, EU’s industrial production, ECB’s monthly report, and the US’s trade balance, PPI and initial jobless claims; while the tech giant Google will release its earnings report later in the day.
However, the focus will remain on Europe, as inventors worry that yields may rise again to levels that determines Europe to intervene, while Italy will sell between 4 to 6 billion euros of bonds later in the day.
The two massive earthquakes that hit Indonesia on Wednesday, measuring 8.6 and 8.2, did not affect trading in the region or the equities, especially after the tsunami warnings were lifted for much of the Indian Ocean, yet it created some chaos.