Asia: Stocks follow US lead higher

Most key Asian stocks closed in the green on Friday after a turbulent week where China became the centre of a global sell off.

China has employed several easing measures this week, which combined with a solid US economic performance led shares higher.

Robust US growth data renewed optimism that the world’s biggest economy could anchor global growth. US gross domestic production expanded 3.7% in the second quarter, exceeding estimates of 2.3%.

The Shanghai Composite was up by 5.4%, while the smaller Shenzhen exchange was up by 5.4%. The start-up focused Chinext was up by 6.26%.

The Nikkei closed up by 3.02%, appearing to shrug off weak data as Japanese inflation fell back to zero while household spending also fell. The yen was at ¥120.85 to the dollar.

Hong Kong’s Hang Seng index slipped by 1.04% led by banking stocks, as Bank of Communications, China Construction bank and Bank of China made up the top four fallers.

Elsewhere India’s Sensex was up by 0.63%, while Singapore’s Strait Times index was up by 0.97%.

Down under Australia’s ASX was up slightly, by 0.6%, led by LNG which was up by 12.02%.

In New Zealand, the NZ50 rose by 0.6% as electricity companies Genesis Energy, Mighty River Power and Meridian Energy advanced.