Asian markets mixed as market digest China data

Asia-Pacific markets presented a mixed performance on Monday as the region digested key economic data from China. The world’s second-largest economy reported May figures for retail sales, industrial output, and urban unemployment.

China’s retail sales exceeded expectations, rising 3.7% year-on-year, surpassing the forecasted 3% increase from a Reuters poll. However, industrial output and fixed asset investment fell short of expectations. Industrial output grew 5.6%, below the anticipated 6%, and fixed asset investment increased by 4%, slightly under the predicted 4.2%.

The urban unemployment rate remained steady at 5% in May, consistent with April and 0.2 percentage points lower than a year ago. The People’s Bank of China maintained its one-year medium-term lending facility rate at 2.5% and injected 4 billion yuan through seven-day reverse repurchase operations, keeping the interest rate at 1.8%.

Following the announcements, Hong Kong’s Hang Seng index rose 0.71%, while China’s CSI 300 dipped 0.1%. Japan’s Nikkei 225 dropped 1.82%, and South Korea’s Kospi fell 0.31%.