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Hong Kong - Equity markets in Hong Kong and Shanghai ticked higher on Wednesday but Shanghai sank after a further slowdown in Chinese economic growth, while Tokyo edged down on a stronger yen.
Disappointing US retail sales dampened hopes for an early interest rate cut by the Federal Reserve, causing a drag on the dollar, while the euro was supported by upbeat eurozone figures.
Shanghai tumbled 1.24% to 4 084.16 and in late trade Hong Kong was up 0.39%.
Tokyo ended down 0.20% at 19 869.76, Sydney fell 0.64% to close at 5 908.4 and Seoul rose 0.39% to 2 119.96.
China said the world's number two economy expanded 7.0% in the first three months of 2015, slightly better than forecast in a survey by AFP but much slower than October to December. It was also the worst for a single quarter since the first three months of 2009, in the depths of the global financial crisis.
The figures are the latest to highlight a slowdown in the economy and will likely increase expectations Beijing will announce more stimulus on top of two interest rate hikes since November.
The economy grew last year at its slowest pace in almost a quarter of a century, buffeted by weak manufacturing, slow domestic demand and low government investment, among other things.
Hopes for more loosening have fanned a rally in Hong Kong and Shanghai stocks. In the past nine sessions Hong Kong has soared almost 15% as mainlanders pick up what they consider cheap equities following a year-long run-up in Shanghai that has almost doubled its value.
"It is urgent for policymakers to do more now to stimulate the economy," said Dariusz Kowalczyk, senior economist at Credit Agricole SA in Hong Kong.
"We expect acceleration in fiscal spending and in government-orchestrated infrastructure projects, as well as more monetary easing," he told Bloomberg News.
In forex markets the dollar struggled after losing ground in New York in response to the retail sales report. It bought ¥119.56 on Wednesday compared with ¥119.44 in US trade, but well down from the ¥119.80 earlier on Tuesday in Tokyo.
Expectations for an early Federal Reserve rate hike were narrowed after official data showed retail sales rose 0.9% in March. While the figure reversed a three-month slump it was slightly weaker than estimated. Excluding auto sales, retail sales rose only 0.4% instead of the 0.7% increase expected.
The euro bought $1.0652 and ¥127.36 against $1.0654 and ¥127.24.
The single currency was taking support from a Eurostat report showing eurozone industrial production rebounded a solid 1.1% in February after falling in January.
On Wall Street the Dow gained 0.33%, the S&P 500 added 0.16% but the Nasdaq slipped 0.22%.
Oil prices edged higher. US benchmark West Texas Intermediate for May delivery gained 35 cents to $53.64 while Brent crude for May rose 57c to $59.00.
Gold fetched $1 194.34 against $1 187.95 late on Tuesday.
In other markets:
- Taipei fell 1.06% to 9 540.06.
Taiwan Semiconductor Manufacturing was 0.69% lower at Tw$143.0 while leading chip design house MediaTek shed 3.98% to Tw$398.5.
- Wellington slipped 0.44% to 5 856.08.
Fletcher Building was off 0.24% at NZ$8.30 and Spark slipped 2.18% to NZ$2.915.
