Pressure on Asian markets from China economic data (MarketWatch) (11-03-2010)

HONG KONG (MarketWatch) -- Asian markets ended mixed on Thursday, with several markets paring gains as resource stocks fell after Chinese economic data sparked fresh worries of further tightening measures from Beijing.

Japan's Nikkei Stock Average of 225 companies advanced 1% to 10664.95, Hong Kong's Hang Seng Index inched up 0.1%, Taiwan's Taiex lost 0.4%, South Korea's Kospi shed 0.3% and Australia's S&P/ASX 200 slipped 0.1%.

Among Chinese stock benchmarks, the Shanghai Composite rose 0.1%, giving up most of its early gains, while the Shenzhen Composite index slid 0.1%.

China's consumer price index rose a faster-than-expected 2.7% in February from the year earlier period, quickening from January's 1.5% rise. The rise in CPI and a robust 20.7% jump in January-February industrial output fuelled concerns of further credit tightening.

In afternoon trading, India's Sensex gained 0.2% and Singapore's Straits Times Index advanced 0.1%. Dow Jones Industrial Average futures were down 23 points in screen trade.

Resource sector shares were hurting on concerns any policy tightening measures from Beijing may hamper Chinese demand for commodities, while Chinese commodity stocks were also hurt. Chinese property stocks weakened.

Japanese shares were led higher by exporters and financial stocks on the back of overnight gains on Wall Street; though traders said investors were cautious ahead of the settlement of futures contracts Friday.

In addition to the Chinese economic data, Sydney shares were also weighed down by news that domestic employment for February rose by 400 jobs, compared with expectations for an increase of 15,000.

Source: MarketWatch