2014.11.0302:32:54UTC+00Asian stocks fluctuate on China data, Kospi drops

Asian stocks swung from gains and losses with the regional benchmark index stepping down from its month-high dragged by South Korean declines and China’s PMI data.

The MSCI Asia Pacific Index shed 0.4% to 483.97, 9:28 am, Seoul. The index does not include Japan as it is closed for a holiday. The regional index jumped by 3.1% in the previous trading week to reach its biggest advance since April of 2013. The gauge was bolstered by a combo of stimulus from Japan: the GPIF and BOJ announcements. Japan’s Nikkei 225 Index and China’s Shanghai Composite Index surged by 4.83% or 755.56 points to 16,413,76 and 0.04% or 1.06 points to 2,421.23 respectively. Hong Kong’s Hang Seng Index, Australia’s S&P/ASX 200, and South Korea’s KOSPI Index plummeted by 0.45% or 108.11 points to 23,889.95, 0.35% ot 19.70 points to 5,506.90, and 0.58% or 11.46 points to 1,952.97 respectively.

Head of trading at Quay Equities, Tristan K’nell, commented to Bloomberg that the unexpected expansion of stimulus by the Bank of Japan bolstered the hopes of the global market in relation to the global economy. K’Nell adds that the region will be put focus after the slew of PMI datas will be reported.

Chinese purchasing manager’s index (PMI) data’s final reading from HSBC today inched up to 50.4, the measures highest level in three months. It is the same as the preliminary reading of HSBC and remains better than the September reading. Meanwhile the official PMI of China was a five-month low of 50.8 versus the 51.1 of September.

The Bank of Japan announced that voters voted 5-4 to increase monetary target expansion to 80 trillion yen or $726 billion. Earlier in the week, stocks has already bolstered due to the $1.2 trillion pension fund increase to bolster shares following the stronger-than-expected US economic growth from the Government of Pension Investment Fund.