Asian equities fell as a risk rally earlier in the week lost steam and Chinese economic data failed to boost markets.
The MSCI Asia Pacific Index snapped a three-day winning streak as investors largely shrugged off the news that China’s economy had expanded at its fastest pace in six quarters.
The country’s benchmark CSI 300 Index fluctuated after the data release, then rose into the midday break. Shares in South Korea, Australia and Japan declined.
China’s economy hit the government’s 5% growth goal last year after an 11th-hour stimulus blitz and export boom turbocharged activity, although looming US tariffs threaten to take away a key driver of expansion.
“The biggest bright spot in the economy last year was exports, which was very strong especially if price factor was excluded,” said Jacqueline Rong, chief China economist at BNP Paribas SA. “That means the biggest problem this year will be US tariffs.”
