On Thursday, Asian markets surged, as concerns regarding global financial system as well as the US’ actual ability to resist turmoil overseas.
The Nikkei Stock Average index went up 2.5%, South Korean Kospi gained 1.1%, while Australian S&P ASX 200 grabbed 1.8%.
Meanwhile, in Hong Kong Hang Seng index soared 2.5% and the Shanghai Composite Index managed to gain 0.5%, as authorities reported that in January Chinese consumer inflation leaped slightly, speeding up for the third month.
In January, China’s consumer-price index bounced 1.8% from the previous year. That’s somewhat quicker compared to December’s 1.6% rally and gets along with economists’ expectations. Then, growing food prices ahead of the Lunar New Year appeared to be one of the most significant factors powering the headline figure.
The Chinese producer-price index decreased 5.3% in January, compared to December’s 5.9% year-over-year dip. The index hung around in deflationary territory for up to four years.
Apart from that, the region’s stocks leapt after American shares surged 1.6% on Wednesday in order to log their first three-day soar this year.
However, as market participants start seeking bargains, thus following the last week’s rough round of selling, worries regarding global growth stand still.