Investing.com - Asian stocks traded mixed to higher on Monday on growing sentiment the U.S. Federal Reserve will announce monetary stimulus measures at its monetary meeting this week.
Softer-than-expected Japanese growth figures pushed down stock prices in Tokyo.
During Asian trading on Monday, Hong Kong's Hang Seng Index was up 0.60%, Australia's S&P/ASX200 was up 0.02%, while Japan’s Nikkei 225 Index was down 0.17%.
The U.S. Bureau of Labor Statistics reported Friday that the U.S. economy created a net 96,000 nonfarm payroll jobs in August, well below market calls for 125,000 jobs.
The jobs report quickly fueled already growing sentiment that the Federal Reserve will roll out a third round of quantitative easing, possibly at its Sept. 12-13 monetary policy meeting this week.
Under quantitative easing, the Fed buys assets such as Treasury holdings or mortgage-backed securities held by banks, pumping the economy full of fresh liquidity in a way that pushes down interest rates to encourage investing and hiring.
Such accommodative policies tend to weaken the dollar by design and send stocks rising in the U.S. as well as across the globe.
The Bureau of Labor Statistics added that July's figures were revised down to 141,000 from 163,000, while June's figures were cut to 45,000 from 64,000, further stoking market calls for Fed intervention.
The unemployment rate stood at 8.1% in August, down from 8.3% in July as more jobless workers exited the labor force.
Elsewhere, Japan reported earlier Monday that its gross domestic product rose less than expected in the second quarter.
The country's Cabinet Office said that the Japanese GDP rose by a seasonally adjusted 0.2% in the second quarter compared with 0.3% in the preceding quarter.
Analysts had expected Japan’s GDP to rise 0.3% in the latest quarter.
The weaker Japanese growth data sparked talk that the Bank of Japan may roll out more monetary stimulus down the road, though investors sold on fears that a weakening Japanese economy will crimp demand for Japanese goods and services.
Trading across Asia was often choppy early Monday, as investors bought and sold to determine how U.S. and Japanese policymakers will react to their cooling respective economies while keeping an eye on China as well, which has said it cannot rule out stimulating its economy.
In Hong Kong, top gainers included China Unicom, up 3.04%, CITIC Pacific, up 2.93%, and CHALCO, up 2.00%.
In Australia, top gainers included Ramelius Resources, up 12.82%, Discovery Metals, up 9.20%, and Coalspur Mines, up 8.55%.
European stock futures indicated a lower opening.
France's CAC 40 futures pointed to a loss of 0.14%, while Germany's DAX 30 futures pointed to a loss of 0.17%. Meanwhile in the U.K., FTSE 100 futures indicated a loss of 0.17%.
Dow Jones Industrial Average futures were down 0.20% while the S&P 500 futures were down 0.25%.
Markets will stay focused on the Federal Reserve this week on expectations the U.S. central bank will announce plans to stimulated the U.S. economy.
Softer-than-expected Japanese growth figures pushed down stock prices in Tokyo.
During Asian trading on Monday, Hong Kong's Hang Seng Index was up 0.60%, Australia's S&P/ASX200 was up 0.02%, while Japan’s Nikkei 225 Index was down 0.17%.
The U.S. Bureau of Labor Statistics reported Friday that the U.S. economy created a net 96,000 nonfarm payroll jobs in August, well below market calls for 125,000 jobs.
The jobs report quickly fueled already growing sentiment that the Federal Reserve will roll out a third round of quantitative easing, possibly at its Sept. 12-13 monetary policy meeting this week.
Under quantitative easing, the Fed buys assets such as Treasury holdings or mortgage-backed securities held by banks, pumping the economy full of fresh liquidity in a way that pushes down interest rates to encourage investing and hiring.
Such accommodative policies tend to weaken the dollar by design and send stocks rising in the U.S. as well as across the globe.
The Bureau of Labor Statistics added that July's figures were revised down to 141,000 from 163,000, while June's figures were cut to 45,000 from 64,000, further stoking market calls for Fed intervention.
The unemployment rate stood at 8.1% in August, down from 8.3% in July as more jobless workers exited the labor force.
Elsewhere, Japan reported earlier Monday that its gross domestic product rose less than expected in the second quarter.
The country's Cabinet Office said that the Japanese GDP rose by a seasonally adjusted 0.2% in the second quarter compared with 0.3% in the preceding quarter.
Analysts had expected Japan’s GDP to rise 0.3% in the latest quarter.
The weaker Japanese growth data sparked talk that the Bank of Japan may roll out more monetary stimulus down the road, though investors sold on fears that a weakening Japanese economy will crimp demand for Japanese goods and services.
Trading across Asia was often choppy early Monday, as investors bought and sold to determine how U.S. and Japanese policymakers will react to their cooling respective economies while keeping an eye on China as well, which has said it cannot rule out stimulating its economy.
In Hong Kong, top gainers included China Unicom, up 3.04%, CITIC Pacific, up 2.93%, and CHALCO, up 2.00%.
In Australia, top gainers included Ramelius Resources, up 12.82%, Discovery Metals, up 9.20%, and Coalspur Mines, up 8.55%.
European stock futures indicated a lower opening.
France's CAC 40 futures pointed to a loss of 0.14%, while Germany's DAX 30 futures pointed to a loss of 0.17%. Meanwhile in the U.K., FTSE 100 futures indicated a loss of 0.17%.
Dow Jones Industrial Average futures were down 0.20% while the S&P 500 futures were down 0.25%.
Markets will stay focused on the Federal Reserve this week on expectations the U.S. central bank will announce plans to stimulated the U.S. economy.