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Overseas Trading: Dreary Chinese Data Smacks European Stocks

Data on factory output, retail sales, and investment growth all missed the mark in China

May 16, 2016 at 8:44 AM
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Asian markets finished higher today, as stocks reacted to Friday's strong retail sales data from the U.S. In Beijing, for example, China's Shanghai Composite added 0.8%, despite a round of dismal economic data released over the weekend, with last month's factory output and retail sales, as well as first-quarter investment growth, all falling short of economists' estimates.

Elsewhere, Hong Kong's Hang Seng tacked on 0.8%, despite swinging wildly lower in intraday action on a rumored "fat finger" trade. Japan's Nikkei, meanwhile, added 0.3% as strong corporate earnings and speculation Prime Minister Shinzo Abe will delay a sales-tax hike overshadowed a wider-than-forecast drop in April's producer price index, while South Korea's Kospi eked out a 0.05% gain.

European benchmarks are in the red at midday -- amid a low-volume session -- as China's dismal economic data stokes concern over the state of the global economy. In fact, not even rallying energy stocks, which are rising in step with oil prices, are giving markets a boost. At last check, the French CAC 40 is off 0.6%, while London's FTSE 100 is down 0.3%. Markets in Germany are closed for holiday.

Overseas Markets May 16

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