Asian shares had a mixed start to the week as China’s economy grew at a slower-than-expected rate of 4.7% in the last quarter. The shooting incident at a rally for former President Donald Trump in Pennsylvania was also in the spotlight, being investigated as an attempted assassination. Despite these events, futures for the S&P 500 and the Dow Jones Industrial Average were up.
China’s Communist Party leaders met in Beijing to discuss economic strategy for the next decade, with a focus on reviving the property market and addressing local government debts. Annual economic growth in China fell from 5.3% in the first quarter to 5% in the first half of the year, in line with the government’s forecast.
Hong Kong’s Hang Seng and Shanghai Composite saw declines, while the central bank kept its lending rate unchanged. Markets in Tokyo were closed for a holiday. In Seoul, the Kospi rose slightly, while the S&P/ASX 200 gained. Taiwan’s Taiex and Bangkok’s SET experienced losses.
On Wall Street, US stocks rose following mixed signals on bank profits and inflation, with the S&P 500 closing its fifth winning week in the last six. The Russell 2000 had its best week in eight months. Bank of New York Mellon reported better-than-expected profits, contributing to market gains.
US inflation data showed higher prices at the wholesale level, but expectations for high inflation have eased in recent months. Traders are anticipating the Federal Reserve to start easing rates in September to relieve economic pressures. Crude oil prices and the value of the US dollar also saw slight fluctuations in early trading.