Forexpros – Asian stocks were mixed to higher on Monday, as hopes European policymakers will take new steps to tackle the debt crisis coupled with stronger-than-expected consumer sentiment figures out of the U.S. fueled demand for risk.
During Asian trading on Monday, Hong Kong’s Hang Seng Index was down 0.80%, Australia’s S&P/ASX200 was up 0.06%, while Japan’s Nikkei 225 Index was up 0.49%.
In the U.S., the Thomson Reuters/University of Michigan preliminary consumer sentiment index for August hit its highest level since May at 73.6, up from 72.3 last month, outpacing economists’ forecasts for a 72.4 reading.
The news sparked demand for equities across Asia, though profit-taking kept gains at bay.
The data also prompted investors to make bullish calls for indicators due for release later in the week.
On Wednesday, U.S. existing home sales data will publish as will the minutes from the Federal Reserve’s latest monetary policy meeting.
Strong consumer sentiment figures coupled with healthy retails sales data and industrial production numbers fueled sentiments inbound indicators will surprise on the upside, which would send stocks rising.
Meanwhile in Europe, the European Central Bank may apply limits on government bond yields to firewall the debt crisis, which further sent stock prices climbing.
In Hong Kong, top decliners included China Resources, down 2.27%, CHALCO, down 2.10%, and Bankcomm, down 1.51%.
In Australia, top gainers included Macmahon Holdings, up 7.20%, Western Areas NL, up 5.44%, and Panoramic Resources, up 3.97%.
European stock futures indicated a mixed opening.
France’s CAC 40 futures pointed to a loss of 0.08%, while Germany’s DAX 30 futures pointed to a gain of 0.10%. Meanwhile in the U.K., FTSE 100 futures indicated a loss of 0.14%.
Dow Jones Industrial Average futures were down 0.02% while the S&P 500 futures were down 0.06%.
Investors will remain focused on Wednesday, when the Federal Reserve releases the minutes of its most recent monetary policy meeting while the National Association of Realtors releases
existing home sales.
On Tuesday, Japan will release data on its trade balance.
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