(Bloomberg) — Stocks in Asia made progress after China’s recent measures to support its stock market and the real estate segment brought a sense of hope. Energy stocks were lifted by the increase in oil prices.Most Read from BloombergProperty shares rose in Hong Kong following the relaxation of home-buying restrictions in the southern city of Guangzhou. China’s securities regulator announced over the weekend that it will suspend the borrowing of certain shares for short selling starting on Monday. These latest actions supplement efforts to curb the decline in the country’s stocks, which has resulted in a nearly 60% plunge in the MSCI China Index from its peak in February 2021.“The very negative sentiment leading to this could potentially open the door for some technical rebound” in Chinese stocks, said Homin Lee, a senior macro strategist at Lombard Odier, speaking on Bloomberg Television. “We’re slightly more cautious because what’s really needed is a change in the inflation outlook for the country and the overall sentiment in the private sector.”Mainland Chinese stocks failed to match the gains seen in their Hong Kong counterparts, amid concerns over the Biden administration’s plan to compel US cloud companies to actively disclose foreign clients who are developing AI applications. The proposal, scheduled for release on Monday, risks further escalating tensions between Washington and Beijing following the recent introduction of legislation by some US lawmakers targeting Chinese biotech firms.Shares of China Evergrande Group were suspended in Hong Kong after plummeting nearly 21% when a court ordered the company to be liquidated.Japanese equities climbed, with producers related to commodities outpacing the market. US stock futures showed little change as investors assessed the risks stemming from conflicts in the Middle East at the beginning of a busy week for the global policy outlook.Story continuesBrent and West Texas Intermediate crude rose for the fourth consecutive day, reaching their highest levels since November during intraday trading. The US announced that Iranian-backed militants had killed three service members, with US President Joe Biden vowing to retaliate. Oil prices increased on Friday after Houthi rebels attacked a vessel carrying Russian fuel.The Australian and New Zealand dollars outperformed other Group-of-10 currencies due to higher commodity prices and the boost in investor sentiment from China’s stock market support measures.The US dollar and Treasuries both saw minimal movement in Asia. Mixed US economic data released on Friday raised concerns that the Federal Reserve may indicate a cautious stance on the pace of interest-rate hikes when it announces its next policy decision on Wednesday.This week also brings a deluge of key data, from European GDP on Tuesday, to China PMI and Australian inflation on Wednesday, and then European inflation along with a Bank of England policy decision on Thursday.“We think the Fed is likely to reiterate its data-dependent stance and caution that it is willing to exercise patience,” analysts at ANZ Bank Ltd., including Miles Workman, wrote in a report. “The Fed will be cautious about any reacceleration of inflation pressures from above-trend growth and the resilient labor market.”Key events this week:Australia retail sales, TuesdayEurozone economic confidence, GDP, consumer confidence, TuesdayEuropean Central Bank board members Boris Vujcic and Philip Lane speak, TuesdayUS Conf. Board consumer confidence, TuesdayMicrosoft Corp., Alphabet Inc. to report earnings, TuesdayAustralia CPI, WednesdayJapan industrial production, retail sales, WednesdayChina non-manufacturing PMI, manufacturing PMI, WednesdayFrance CPI, WednesdayGermany CPI, unemployment, WednesdayECB chief economist Philip Lane speaks, WednesdayFed rate decision, US employment cost index, WednesdayBoeing Co. announces earnings, WednesdayUS Treasury quarterly refunding, in which officials to announce plans for auctions of 3-year notes, 10-year notes and 30-year bonds and other borrowing plans, WednesdayJapan PMI, ThursdayChina Caixin manufacturing PMI, ThursdayEurozone S&P Global Manufacturing PMI, CPI, unemployment, ThursdayBank of England rate decision, ThursdayECB Governing Council member Mario Centeno speaks, ThursdayUS ISM Manufacturing, initial jobless claims, ThursdayApple Inc., Amazon.com Inc., Meta Platforms Inc. to report earnings, ThursdayGerman lawmakers hold final votes on revised 2024 federal budget, FridayECB Governing Council Member Mario Centeno speaks, FridayUS employment report, University of Michigan consumer sentiment, factory orders, FridayStocksS&P 500 futures showed little change as of 1:30 p.m. Tokyo time. The S&P 500 remained largely unchanged on FridayNasdaq 100 futures were flat. The Nasdaq 100 declined by 0.5%Japan’s Topix index surged by 1.3%Hong Kong’s Hang Seng Index rose by 0.9%China’s Shanghai Composite Index rose by 0.3%Australia’s S&P/ASX 200 Index rose by 0.3%CurrenciesThe Bloomberg Dollar Spot Index showed minimal movementThe euro remained unchanged at $1.0845The Japanese yen was flat at 148.06 per dollarThe offshore yuan saw minimal movement at 7.1951 per dollarThe Australian dollar rose by 0.3% to $0.6594CryptocurrenciesBitcoin rose by 0.6% to $42,231.88Ether increased by 0.2% to $2,268.19BondsThe yield on 10-year Treasuries was flat at 4.13%Japan’s 10-year yield rose by 1.5 basis points to 0.720%Australia’s 10-year yield fell by three basis points to 4.21%CommoditiesWest Texas Intermediate crude rose by 0.6% to $78.49 a barrelSpot gold increased by 0.4% to $2,026.67 an ounceThis story was produced with the assistance of Bloomberg Automation.–With assistance from Garfield Reynolds.Most Read from Bloomberg Businessweek©2024 Bloomberg L.P.
