Chinese trade data stabilizes Asian stocks
Asian stocks negated some of its losses in early trading on May 7. New data on Chinese exports proved that trade is more resilient than expected.
Chinese government reported that exports went up 3.5% last month on a year. The experts expected a 15.1% drop. Meanwhile national imports contracted 14.2%.
The news spurred optimism on the markets that had underwhelming starts. Japanese and Korean indexes returned to flat positions after some losses.
Nevertheless, MSCI Asia-Pacific Index lost 0.4%, impacted by a 0.3% drop of Chinese blue chips. E-Mini futures for the S&P 500 still jumped up 0.5%. FTSE and EUROSTOXX 50 gained 0.2%.
Markets are still influenced by the new tensions in US-China relations and are waiting for more news concerning the looming reignition of the trade war. President Trump stated that in a week or two it would be clear if China is fulfilling its part of the trade deal. The administration is already thinking about possible punitive measures and tariffs.