Prior to Key Meet, China Stocks Rise on Stimulus Bets – Asia Market Wrap

Chinese stocks rose as traders increased their bets for higher growth stimulus, providing a bright spot in a region dominated by caution ahead of critical US employment data.

China’s benchmark CSI 300 index climbed as much as 1.9%, indicating that investors were bracing for further economic stimulus measures from a key policy meeting slated for Wednesday. Hong Kong equities also surged.

An Asian equities index fluctuated between gains and losses, with benchmarks in Japan, South Korea, and Australia all declining. The general pessimistic tone in the region came after the S&P 500 dropped 0.2% and the tech-heavy Nasdaq 100 fell 0.3% on Thursday, their first drops in five days.

Aside from China, all eyes are on Friday’s US nonfarm payrolls report, which came after bouts of political uncertainty in Asia and Europe caused a wave of volatility in currency markets but failed to startle equities. On Thursday, US unemployment claims reached a one-month high, although experts expect payrolls to rise by 220,000 in November, following a drop in October due to two storms and a strike.

In commodities, oil traded flat as OPEC+’s decision to postpone the restart of suspended production for another three months failed to boost confidence. Meanwhile, Chevron announced intentions to restrict production growth in the largest US oilfield next year. Gold edged up.