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Asian and European equity markets rallied on Tuesday following another positive day on Wall Street stoked by US data that eased recession fears, while Chinese tech firms helped propel another surge in Hong Kong.Traders have kicked off the week on a positive note after Beijing at the weekend unveiled a range of measures aimed at reigniting activity in China’s army of consumers.That was followed Monday by figures showing US retail sales grew less than expected last month but a separate reading — used to calculate economic growth — topped forecasts, tempering possible concerns about a possible downturn. However, while there have been no new announcements in recent days, investors continue to fret over the impact of Donald Trump’s trade war on global growth.Hong Kong, which has piled on more than a fifth since the turn of the year, rose 2.5 percent to lead the gains Tuesday thanks to further buying of Chinese tech firms including Alibaba, Tencent and JD.com.Electric vehicle maker BYD was also a big winner, adding more than four percent — having jumped more than six percent to a record at one point — after unveiling battery technology it says can charge in five minutes.Shanghai also rose, along with Tokyo, Sydney, Seoul, Singapore, Taipei, Mumbai and Bangkok.However, trading in Jakarta was halted as the market tanked more than seven percent — its biggest intraday drop since 2011 — on worries about the Indonesian economy and weakening consumer spending heading into the Eid holiday period. It later resumed and pared its losses to four percent.The bourse has plunged more than 10 percent so far this year as the economy struggles, and eyes are now on the country’s central bank ahead of a policy decision due on Wednesday.London, Paris and Frankfurt rose at the open.The rally came after a second successive day of gains on Wall Street, which has been hammered this month by a sell-off sparked by Trump’s tariffs campaign that many fear could ramp up US inflation and hammer the economy.But SPI Asset Management’s Stephen Innes warned investors that investors weer not out of the woods yet.”Don’t get too comfortable — nervous eyes remain locked on Washington’s tariff tumult,” he wrote in a commentary.”The storm is far from over, and with the next escalation looming, the market is still walking a fine line between optimism and another sharp reality check.”Uncertainty about the impact of the tariffs and renewed concerns about the Middle East after Israel struck targets in Gaza helped safe-haven gold hit a fresh record just short of $3,020.This week is due to see policy decisions by the Federal Reserve, Bank of Japan and Bank of England, with all three forecast to stand pat on interest rates.The US central bank’s announcement will also come with updates to its outlook for the economy and interest rates this year, in light of Trump’s trade measures as well as plans to slash taxes, immigration and federal jobs.”We do not expect major changes in forward guidance on policy rates in the updated (policy board) statement,” said Ryan Wang, US economist for HSBC.”The statement could repeat that risks to (its) employment and inflation goals ‘are roughly in balance’ and that the ‘economic outlook is uncertain’.”However, he did say that while he saw no major changes to the bank’s median economic outlook, “the changes that we do expect are in a pessimistic direction”.- Key figures around 0815 GMT -Tokyo – Nikkei 225: UP 1.2 percent at 37,845.42 (close)Hong Kong – Hang Seng Index: UP 2.5 percent at 24,740.57 (close)Shanghai – Composite: UP 0.1 percent at 3,429.76 (close)London – FTSE 100: UP 0.4 percent at 8,711.68 Euro/dollar: UP at $1.0929 from $1.0925 on MondayPound/dollar: DOWN at $1.2987 from $1.2990Dollar/yen: UP at 149.85 yen from 149.12 yenEuro/pound: UP at 84.16 pence from 84.07 penceWest Texas Intermediate: UP 0.8 percent at $68.12 per barrelBrent North Sea Crude: UP 0.8 percent at $71.62 per barrelNew York – Dow: UP 0.9 percent at 41,841.63 (close)

Hong Kong leader John Lee on Tuesday said criticism of city conglomerate CK Hutchison’s sale of its Panama Canal ports deserved “serious attention”, after Beijing authorities repeatedly slammed the deal.The business empire of Hong Kong’s richest man, Li Ka-shing, sold most of its port operations — including those in the canal — to a US-led consortium this month following pressure from US President Donald Trump.But Beijing has upped pressure on the firm since, with two Chinese government offices managing Hong Kong affairs republishing newspaper articles last week blasting the transaction and questioning whether CK Hutchison sided with the United States over China.”There have been extensive discussions in society about the issue and this reflects society’s concern over the matter,” Lee, the chief executive of the largely autonomous Chinese city, told reporters.”These concerns deserve serious attention.”Bloomberg News reported on Tuesday, citing unnamed sources, that senior Chinese leaders have ordered several government agencies — including the State Administration for Market Regulation — to scrutinise the deal.This examination by Beijing does not necessarily result in follow-up action, the sources told Bloomberg, asking not to be identified to discuss private deliberations.Asked to confirm that report, Beijing directed AFP to the “relevant authorities”.But spokeswoman Mao Ning said that “China has always firmly opposed the use of economic coercion, bullying and infringement to undermine the legitimate rights and interest of other countries”.Shares of CK Hutchison in Hong Kong fell nearly four percent on Tuesday morning.For months, Trump has complained that China controls shipping in the Panama Canal, which was built by the United States more than a century ago to link the Pacific and Atlantic oceans.The US president repeatedly threatened to “take back” the canal, which was handed over to Panama in 1999.- ‘Bullying tactics’ -Before the sale, CK Hutchison’s subsidiary in Panama had managed two of the five ports at the canal — one on Cristobal, on the Atlantic side and the other on Balboa, the Pacific side — via a government concession since 1997.CK Hutchison, one of Hong Kong’s largest conglomerates, said the deal was unrelated to recent political news.Lee on Tuesday urged foreign governments to “provide a fair and just environment” for Hong Kong enterprises, without calling out the United States by name.”We oppose the abusive use of coercion, of bullying tactics in international economic and trade relations,” he said.Lee said any transaction must comply with legal and regulatory requirements, adding that Hong Kong would “handle it in accordance with the law and regulations”.The Hong Kong and Macao Work Office — an office in Beijing overseeing Hong Kong affairs — republished a newspaper article last Thursday asking CK Hutchison “which side it stands on”.Two days later, it ran another piece critical of the deal, which was later republished by the Liaison Office, the top Beijing authority based in Hong Kong.AFP has contacted the conglomerate for comment.Outspoken Hong Kong ex-leader CY Leung added to the chorus of criticism, saying “some Hong Kong businesspeople mistakenly believe that ‘businesspeople have no homeland'”.”American businesspeople can and will do only things aligned with US interests… the same applies to China,” Leung wrote on Facebook on Monday.

Pacific nation Kiribati says it is exploring a deep-sea mining partnership with China, dangling access to a vast patch of Pacific Ocean harbouring coveted metals and minerals.Beijing has been ramping up efforts to court Pacific nations sitting on lucrative seafloor deposits of cobalt, nickel and copper — recently inking a cooperation deal with Cook Islands. Kiribati opened discussions with Chinese ambassador Zhou Limin after a longstanding agreement with leading deep-sea mining outfit The Metals Company fell through.”The talk provides an exciting opportunity to explore potential collaboration for the sustainable exploration of the deep-ocean resources in Kiribati,” the government said Monday evening in a statement.Pacific nations Kiribati, Cook Islands and Nauru sit at the forefront of a highly contentious push to mine the depths of the ocean.Kiribati holds rights for deep-sea mining exploration across a 75,000-square-kilometre swathe of the Pacific, in a region known as the Clarion Clipperton Zone.  Through state-backed subsidiary Marawa Research, Kiribati had been working with Canada-based The Metals Company to explore the mineral deposits. But that agreement was terminated “mutually” at the end of 2024, The Metals Company told AFP.A Kiribati fisheries official said the nation was now exploring opportunities with other foreign partners.The Metals Company said Kiribati’s mining rights were “less commercially favourable” than other projects with Pacific nations Nauru and Tonga.Kiribati’s announcement comes as international regulators begin a series of crunch meetings that could decide the fate of the nascent industry. The Metals Company and other industry players are pushing the International Seabed Authority to set rules allowing large-scale exploitation. – ‘Bending over backwards’ -Kiribati, a climate-threatened archipelago home to some 130,000 people, lays claim to an ocean expanse that forms one of the largest exclusive economic zones in the world.Under incumbent President Taneti Maamau it severed diplomatic links with Taiwan in 2019, forming deeper ties to China. Chinese companies have in recent years been granted rights to harvest Kiribati’s profitable fisheries — one of the nation’s few natural resources besides minerals. A visiting cadre of Beijing police have also visited the capital Tarawa to help train local Kiribati forces.Tessie Lambourne, a leading member of Kiribati’s opposition, said China seemed to be seeking access to “our maritime space for its own interest”.”I always say that our government is bending over backwards to please China,” she told AFP.China and Cook Islands struck a five-year cooperation agreement in February to study the Pacific nation’s seabed mineral riches. The deal did not include any exploration or mining licence.Companies hope to earn billions by scraping the ocean floor for polymetallic rocks, or nodules, that are loaded with manganese, cobalt, copper and nickel — metals used to build batteries for electric vehicles. Pacific nations such as Nauru and Kiribati believe the industry holds the key to economic prosperity in a region where scarce land is already under threat from rising seas. But neighbours Palau, Fiji and Samoa are staunchly opposed, pushing for lingering environmental questions to be cleared up before anyone takes the plunge.

Asian markets rallied on Tuesday following another positive day on Wall Street stoked by US data that eased recession fears, while Chinese tech firms helped propel another surge in Hong Kong.Traders have kicked off the week on a positive note after Beijing at the weekend unveiled a range of measures aimed at reigniting activity in China’s army of consumers.That was followed Monday by figures showing a key measure of US retail sales topped forecasts in February, suggesting recent concerns about a possible downturn in the world’s top economy may have been overblown.However, while there have been no new announcements in recent days, investors continue to fret over the impact of Donald Trump’s trade war on global growth.Hong Kong, which has piled on more than a fifth since the turn of the year, led the gains Tuesday thanks to further buying of Chinese tech firms.Alibaba, Tencent and JD.com were in the vanguard once again but electric vehicle maker BYD was also a big winner — jumping more than six percent to hit a record high — after it unveiled battery technology it says can charge in five minutes.Shanghai also rose, along with Tokyo, Sydney, Seoul, Singapore, Taipei and Manila.The rally came after a second successive day of gains on Wall Street, which has been hammered this month by a sell-off sparked by Trump’s tariffs campaign that many fear could ramp up US inflation and hammer the economy.However, SPI Asset Management’s Stephen Innes warned investors not to get too comfortable, with fresh levies on US trading partners due to kick in as soon as April 1.”Don’t get too comfortable — nervous eyes remain locked on Washington’s tariff tumult,” he wrote in a commentary.”The storm is far from over, and with the next escalation looming, the market is still walking a fine line between optimism and another sharp reality check.”Uncertainty about the impact of the tariffs helped safe-haven gold hit a fresh record of $3,008.53 in early trade Tuesday.This week is due to see policy decisions by the Federal Reserve, Bank of Japan and Bank of England, with all three forecast to stand pat on interest rates.The US central bank’s announcement will also come with updates to its outlook for the economy and interest rates this year, in light of Trump’s trade measures as well as plans to slash taxes, immigration and federal jobs.”We do not expect major changes in forward guidance on policy rates in the updated (policy board) statement,” said Ryan Wang, US economist for HSBC.”The statement could repeat that risks to (its) employment and inflation goals ‘are roughly in balance’ and that the ‘economic outlook is uncertain’.”However, he did say that while he saw no major changes to the bank’s median economic outlook, “the changes that we do expect are in a pessimistic direction”.- Key figures around 0230 GMT -Tokyo – Nikkei 225: UP 1.5 percent at 37,943.23 (break)Hong Kong – Hang Seng Index: UP 1.9 percent at 24,599.48Shanghai – Composite: UP 0.2 percent at 3,432.30Euro/dollar: DOWN at $1.0911 from $1.0925 on MondayPound/dollar: DOWN at $1.2977 from $1.2990Dollar/yen: UP at 149.51 yen from 149.12 yenEuro/pound: UP at 84.08 pence from 84.07 penceWest Texas Intermediate: UP 0.3 percent at $67.75 per barrelBrent North Sea Crude: UP 0.3 percent at $71.25 per barrelNew York – Dow: UP 0.9 percent at 41,841.63 (close)London – FTSE 100: UP 0.6 percent at 8,680.29 (close)

Global stock markets started the week on the front foot on Monday as investors welcomed China’s plans to kickstart consumption in the world’s number two economy, with upcoming central bank rate decisions also in focus.Major Wall Street stock indices advanced for a second straight session, as US retail sales for February showed a 0.2 percent increase from the previous month, less than analysts expected but much better than January’s 1.2 percent decline. The data was good enough to keep alive the market’s momentum from Friday.”We’ve priced in a lot of the concerns on the trade war,” said Art Hogan of B. Riley Wealth Management.Investors were keeping tabs on Beijing as officials were set to outline their plans to kickstart spending by the country’s army of consumers after years of post-Covid weakness, which has been a major drag on economic growth.The plan looks to boost income with property reforms, stabilizing the stock market and encouraging lenders to provide more consumption loans with reasonable limits, terms and interest rates.”Hopes that a new consumer life raft in China will buoy up the country’s prospects of recovery have helped lift sentiment slightly, but caution remains,” said Susannah Streeter, head of money and markets at Hargreaves Lansdown.Officials were also looking at raising pension benefits, establishing a childcare subsidy system, and ensuring workers’ rights to rest and holidays are legally protected.The move comes after data showed consumer prices dropped into deflation in February for the first time in a year, while producer prices continued to fall.Hong Kong built on a blockbuster start to the year fuelled by a chase into Chinese tech giants, while Shanghai and Tokyo also enjoyed healthy buying.London, Paris and Frankfurt all advanced, tracking gains in Asia.But investors are concerned that US President Donald Trump’s myriad trade wars could create the conditions for stagflation: high inflation, weak demand and high unemployment.This week’s economic calendar includes policy decisions from the US Federal Reserve, the Bank of Japan and the Bank of England — and all are expected to keep interest rates on hold.Alongside its rate decision, the Fed will release its summary of economic projections and outlook for borrowing costs this year, which comes as policymakers try to navigate the potential inflationary impacts of Trump’s tariffs campaign.Gold was trading around the $3,000 an ounce mark on Monday, after it broke the symbolic threshold for the first time on Friday owing to a rush into safe havens as traders fret over Trump’s tariffs.”A faltering US dollar and heightened risk aversion, courtesy of Trump’s latest trade brinkmanship, continue to drive demand,” said City Index and FOREX.com analyst Fawad Razaqzada.- Key figures around 2030 GMT -New York – Dow: UP 0.9 percent at 41,841.63 (close)New York – S&P 500: UP 0.6 percent at 5,675.12 (close)New York – Nasdaq Composite: UP 0.3 percent at 17,808.66 (close)London – FTSE 100: UP 0.6 percent at 8,680.29 (close)Paris – CAC 40: UP 0.6 percent at 8,073.98 (close)Frankfurt – DAX: UP 0.7 percent at 23,154.57 (close)Tokyo – Nikkei 225: UP 0.9 percent at 37,396.52 (close)Hong Kong – Hang Seng Index: UP 0.8 percent at 24,145.57 (close)Shanghai – Composite: UP 0.2 percent at 3,426.13 (close)Euro/dollar: UP at $1.0925 from $1.0879 on FridayPound/dollar: UP at $1.2990 from $1.2935Dollar/yen: UP at 149.12 yen from 148.63 yenEuro/pound: DOWN at 84.07 pence from 84.10 penceBrent North Sea Crude: UP 0.7 percent at $71.07 per barrelWest Texas Intermediate: UP 0.6 percent at $67.58 per barrelburs-jmb/jgc

Hong Kong’s second-richest man Lee Shau-kee has died aged 97, the property tycoon’s firm Henderson Land Development announced Monday.Lee died peacefully on Monday evening in the company of his family, Henderson said in a press release.Known as “Uncle Four” because he had three elder siblings, Lee was one of the most influential players in Hong Kong’s post-war real estate boom and was also a shrewd stock market investor.He was listed as the second wealthiest man in Hong Kong with a net worth of $29.2 billion, according to a Forbes list published in February.During Lee’s tenure, Henderson cemented its place as one of the Chinese finance hub’s “big four” property developers, a dominant oligopoly that continues to shape life in the city.The seven Hong Kong-listed companies of his empire had a combined market value of $71 billion at the time of his death, the South China Morning Post reported.Lee retired late in life, only stepping down as chairman of Henderson in May 2019.His sons Peter and Martin Lee took over as joint chairmen and managing directors.Hong Kong’s original billionaires are held up locally as living symbols of the city’s economic rise and international clout, even as inequality remains rampant.Like his tycoon peers, Lee kept close ties to Beijing and in 2013 voiced opposition to a Hong Kong civil disobedience movement calling for greater democracy.- Key developer -Born in China’s Guangdong province, Lee helped out in his family’s gold and silver business as a child before moving to Hong Kong in 1948, when he was 20.He got his start in trading precious metals and currencies, but pivoted to real estate just as Hong Kong’s economy took off, with an influx of immigrants driving demand for housing and construction.In 1969, Lee and two partners — together nicknamed the “three musketeers” — founded Sun Hung Kai, which went on to become one of the top property developers in the then British colony.Lee recalled that period as a satisfying time in his life and said it was “truly a regret our partnership did not last long”, in a 2019 interview with Bloomberg News.Lee established his own real estate firm Henderson Land in 1976. Early successes included a 52-block private housing estate in Shatin, one of Hong Kong’s first satellite towns.The magnate’s business interests grew to encompass hotels, a natural gas provider, and the operator of Star Ferry — one of Hong Kong’s most recognisable icons.The International Financial Centre, a gleaming tower at the edge of Victoria Harbour, was co-developed by Lee’s firm.The Henderson — a Zaha Hadid Architects-designed skyscraper built on a $3 billion commercial land plot — opened last year at the heart of the Central business district.As for his investments, Lee’s personal stock portfolio was valued at more than $26 billion at its height, but the legend of “Hong Kong’s Warren Buffett” was dimmed somewhat following losses from the 2008 global financial crisis.In the 1990s and 2000s, it was sometimes a toss-up as to which property tycoon — Lee Shau-kee or Li Ka-shing — topped the list as the city’s wealthiest.Lee’s philanthropic efforts included high-profile donations to schools and universities in Hong Kong and China.City leader John Lee on Monday lauded the tycoon as an “outstanding business leader and entrepreneur who had made significant contributions to Hong Kong’s economic development, as well as the city’s prosperity and stability”.Lee, who divorced in 1985 and never remarried, is survived by two sons and three daughters.

Hong Kong’s second-richest man Lee Shau-kee has died aged 97, the property tycoon’s firm Henderson Land Development announced Monday. Lee died peacefully on Monday evening in the company of his family, Henderson said in a press release.Known as “Uncle Four” as he had three elder siblings, Lee was one of the most influential players in Hong Kong’s post-war real estate boom and was also a shrewd stock market investor.He was listed as the second wealthiest man in Hong Kong with a net worth of $29.2 billion, according to a Forbes list published in February.Like other Hong Kong tycoons, Lee retired late in life, only stepping down as chairman of Henderson in May 2019.His sons Peter and Martin Lee took over as joint chairmen and managing directors.Born in China’s Guangdong province, Lee helped out in his family’s gold and silver business as a child before moving to Hong Kong in 1948.In 1969, he co-founded Sun Hung Kai, which became one of the top property developers in the then British colony.Lee established his own real estate firm Henderson in 1976, and his business interests grew to encompass hotels, public utilities, and the operator of Star Ferry — one of Hong Kong’s most recognisable icons.The Henderson, a skyscraper designed by Zaha Hadid Architects located in Hong Kong’s finance district, opened last year.Hong Kong leader John Lee on Monday lauded the tycoon as an “outstanding business leader and entrepreneur who had made significant contributions to Hong Kong’s economic development, as well as the city’s prosperity and stability”.Details of his funeral will be announced later, according to the company.

Global stock markets started the week on the front foot on Monday as investors welcomed China’s plans to kickstart consumption in the world’s number two economy amid US tariff fears.Relief about a US government shutdown being avoided helped counterbalance disappointing US economic data.Investors were keeping tabs on Beijing as officials were set to outline their plans to kickstart spending by the country’s army of consumers after years of post-Covid weakness, which has been a major drag on economic growth.The plan looks to boost income with property reforms, stabilise the stock market and encourage lenders to provide more consumption loans with reasonable limits, terms and interest rates.”Hopes that a new consumer life raft in China will buoy up the country’s prospects of recovery have helped lift sentiment slightly, but caution remains,” said Susannah Streeter, head of money and markets at Hargreaves Lansdown.Officials were also looking at raising pension benefits, establishing a childcare subsidy system, and ensuring workers’ rights to rest and holidays are legally protected.The move comes after data showed consumer prices dropped into deflation in February for the first time in a year, while producer prices continued to fall.Observers have warned that leaders have a tough job ahead of them amid US President Donald Trump’s trade war.”With China firmly in US President Donald Trump’s sights, deflation concerns in China will worsen,” said economists at Moody’s Analytics.”The chaos of tariffs and rising unemployment will keep consumer spending weak, denting inflation’s demand drivers.”Hong Kong built on a blockbuster start to the year fuelled by a chase into Chinese tech giants, while Shanghai and Tokyo also enjoyed healthy buying.London, Paris and Frankfurt all advanced in afternoon trading on Monday, tracking gains in Asia.Wall Street opened lower but quickly bounced higher, shaking off data showing US retail sales logged smaller gains than expected in February, edging up by 0.2 percent compared to a 0.7 percent increase expected by Briefing.com. Despite the miss, Briefing.com analyst Patrick O’Hare pointed to a more encouraging reading of control group sales that excludes certain volatile elements, which jumped 1.0 percent.However a key survey showed a jump in prices paid by businesses, which O’Hare said “plays into some of the stagflation worries that have infiltrated the market”.Investors are concerned that the tariff war could create the conditions for stagflation: high inflation, weak demand and high unemployment.”The economy will be a focal point throughout the week” for investors, noted O’Hare.This week’s calendar includes policy decisions from the US Federal Reserve, the Bank of Japan and the Bank of England — and all are expected to keep interest rates on hold. Alongside its rate decision, the Fed will release its summary of economic projections and outlook for borrowing costs this year, which comes as policymakers try to navigate the potential inflationary impacts of Trump’s tariffs campaign.Gold was trading around the $3,000 an ounce mark on Monday, after it broke the symbolic threshold for the first time on Friday owing to a rush into safe havens as traders fret over Trump’s tariffs.- Key figures around 1330 GMT -New York – Dow: UP 0.2 percent at 41,584.66 pointsNew York – S&P 500: UP 0.2 percent at 5,650.59New York – Nasdaq Composite: UP 0.1 percent at 17,773.88London – FTSE 100: UP 0.4 percent at 8,663.27Paris – CAC 40: UP 0.4 percent at 8,057.07Frankfurt – DAX: UP 0.2 percent at 23,035.57Tokyo – Nikkei 225: UP 0.9 percent at 37,396.52 (close)Hong Kong – Hang Seng Index: UP 0.8 percent at 24,145.57 (close)Shanghai – Composite: UP 0.2 percent at 3,426.13 (close)Euro/dollar: UP at $1.0902 from $1.0884 on FridayPound/dollar: UP at $1.2974 from $1.2936Dollar/yen: UP at 148.76 yen from 148.62 yenEuro/pound: DOWN at 84.04 pence from 84.14 penceBrent North Sea Crude: UP 0.9 percent at $71.24 per barrelWest Texas Intermediate: UP 0.9 percent at $67.81 per barrelburs-rl/bc

Markets rose on Monday as investors welcomed Chinese plans to kickstart consumption in the world’s number two economy, though worries about Donald Trump’s tariffs war continue to cast a shadow over trading floors.The gains follow a much-needed rally on Wall Street that was stoked by optimism US lawmakers would pass a spending bill to avert a painful government shutdown. Eyes were on Beijing as officials were set to outline their plans to kickstart spending by the country’s army of consumers after years of post-Covid weakness that has been a major drag on economic growth.The State Council unveiled a set of initiatives on Sunday that aim to “promote reasonable wage growth by strengthening employment support in response to economic conditions”, according to state news agency Xinhua.The plan looks to boost income with property reforms, stabilise the stock market and encourage lenders to provide more consumption loans with reasonable limits, terms and interest rates.Officials were also looking at raising pension benefits, establishing a childcare subsidy system, and ensuring workers’ rights to rest and holidays are legally protected.The move comes after data showed consumer prices dropped into deflation in February for the first time in a year, while producer prices continued to fall.However, observers warned that leaders had a tough job ahead of them amid Trump’s trade war.”While fiscal spending targeting domestic demand has expanded, government support is limited,” said economists at Moody’s Analytics, adding that “mercurial US economic policies are set to drag on global trade and hit China”.”With China firmly in US President Donald Trump’s sights, deflation concerns in China will worsen. The chaos of tariffs and rising unemployment will keep consumer spending weak, denting inflation’s demand drivers.”Manufacturers will have to look closer to home to sell tariff-targeted products. That combination — weaker demand and more domestic supply — will be a handbrake on price growth.”- Fed projections -Data on Monday provided a little support, with retail sales up slightly more than expected in the first two months of the year, while industrial production also topped estimates.Hong Kong gained to build on a blockbuster start to the year fuelled by a chase into Chinese tech giants, while Shanghai, Tokyo, Sydney, Singapore, Seoul, Taipei, Mumbai and Manila also enjoyed healthy buying.London and Paris edged up at the open while Frankfurt was flat.Gold was sitting around $2,985 per ounce, having broken to a record high near $3,005 on Friday owing to a rush into safe havens as traders fret over Trump’s tariffs.All three main indexes on Wall Street ended on the front foot on Friday on optimism a government shutdown would be averted. Later in the day lawmakers passed the spending bill that will keep business going through to September.Traders are also looking ahead to the Federal Reserve’s next policy decision as policymakers try to navigate Trump’s tariffs campaign, which some economists warn could reignite inflation and tip the economy into recession.While the bank is expected to stand pat on interest rates, it will release its summary of economic projections and its outlook for borrowing costs this year.The gathering comes after a consumer survey released by the University of Michigan last week said expectations for the future “deteriorated” with “many consumers”. It cited a “high level of uncertainty around policy and other economic factors”.- Key figures around 0815 GMT -Tokyo – Nikkei 225: UP 0.9 percent at 37,396.52 (close)Hong Kong – Hang Seng Index: UP 0.8 percent at 24,145.57 (close)Shanghai – Composite: UP 0.2 percent at 3,426.13 (close)London – FTSE 100: UP 0.2 percent at 8,647.67Euro/dollar: DOWN at $1.0872 from $1.0884 on FridayPound/dollar: DOWN at $1.2932 from $1.2936Dollar/yen: UP at 148.92 yen from 148.62 yenEuro/pound: DOWN at 84.08 pence from 84.14 penceWest Texas Intermediate: UP 0.8 percent at $67.70 per barrelBrent North Sea Crude: UP 0.7 percent at $71.10 per barrelNew York – Dow: Up 1.7 percent at 41,488.19 (close)

China’s economy charted an uneven trajectory in the first two months of the year, a slew of key indicators showed Monday, muddying Beijing’s drive to boost flagging consumption.Officials have looked in recent months to revive confidence in the world’s second-largest economy, which has been beset by persistent property sector woes and is now under increasing pressure from fresh trade tensions with the United States.Data from Beijing’s National Bureau of Statistics (NBS) on Monday offered some positive signs, showing retail sales — a key measure of consumer sentiment — increased four percent year-on-year during January and February combined.However, data also showed that unemployment rose, while housing prices continued to fall in most major cities.”In the first two months, with the sustained effects of macro policies, the national economy maintained the new and positive development,” the NBS said in a statement.But, it warned, “domestic effective demand is weak, (and) some enterprises face difficulties in production and operation”.”The foundation for sustained economic recovery and growth is not strong enough,” it said.The surveyed urban unemployment rate — China’s main metric for measuring how many are out of work — rose to 5.4 percent in February, the NBS said, up 0.2 percentage points from the previous month.That was above the 5.1 percent forecast by Bloomberg and was the highest recorded in two years.And, in a worrying sign for the property sector, an NBS price index for new commercial homes decreased year-on-year in 68 of 70 large and medium cities during February.- ‘Mixed messages’ -China’s statistics authorities combine many economic indicators for the first two months of the year to account for potential distortions caused by the annual Lunar New Year holiday.Industrial production in January and February also rose 5.9 percent year-on-year, data showed, slowing from the 6.2 percent growth in December.Beijing said this month it is targeting total growth this year of five percent — the same as last year and a goal considered ambitious by many economists.Faced with an intensified trade war under US President Donald Trump, Chinese officials are now under pressure to boost domestic consumption to reduce the economy’s traditional reliance on exports.Since taking office in January, Trump has slapped tariffs amounting to a 20 percent hike on Chinese overseas shipments, which last year reached record levels.”The international environment will become more complex and severe in the next stage,” NBS spokesman Fu Linghui told a news conference after Monday’s data release.”But the general trend of international cooperation and common wins will not change,” Fu said.The government released an action plan on Sunday it hopes can overcome low consumer demand, including measures such as property reform and childcare subsidies.”The macro data released today show mixed messages,” said Zhiwei Zhang, president and chief economist at Pinpoint Asset Management.Activity data on industrial production and retail sales showed “consistent signals and beat expectations”, he wrote, although the rise in unemployment to its highest level in two years was “unexpected”.”Unemployment is often a lagging indicator, hence it may improve if more proactive fiscal policy helps to keep the activity buoyant in coming months,” Zhang said.”The risk to the economy is the damage from higher US tariffs on China’s exports which will likely show up in the trade data over the next few months.”