China's economic figures cause the Australian stock market to rise
Published 21 January 2014, 12:44 AEST
Compiler: Fang Teng Editor: Ma Jianyuan
The economic figures released by China show that economic development continues to grow at a rate of more than 7.5%. After seeing this good news, the Australian stock market moved higher yesterday.
China's economic figures cause the Australian stock market to rise (Credit: ABC)
The US stock market was closed for a day due to the holiday. In Europe, the London Financial Times 100 Index closed up 7 points. The Paris CAC index closed down 4 points. The Frankfurt DAX index closed down 27 points.
In Asian stock markets, Hong Kong's Hang Seng Index closed down 204 points, or 0.88%, and China's Shanghai Composite Index fell 0.68%, setting a new closing low in the past six months. The Shenzhen Composite Index closed down 0.88%. The Taiwan Weighted Index closed up 0.3%. The Japanese stock market fell for 3 consecutive trading days and fell to a 1-week low to close. The Nikkei index closed down 0.59%. South Korea's Seoul Composite Index closed up 0.48%.
In the Australian stock market, the All Ordinaries index closed down 9 points, closing at 5308. The ASX200 index fell 0.2% and closed at 5295. As economic figures from China show that China’s economic growth in the fourth quarter of last year reached 7.7%, which exceeded expectations, this helped the Australian stock market, especially mining stocks, to rise further. However, compared with the third quarter of last year, China's economic growth rate fell by 0.1%.
It is worth introducing that although China's economic growth rate has slowed somewhat, Australia's exports to China are rising further. The following chart shows this.
The second chart below shows that although the Australian dollar exchange rate trend and commodity prices are slightly different, the connection between the two is obvious. This chart shows that the Australian dollar has recently been accompanied by a decline in commodity prices, and the rise in the US dollar has also caused the Australian dollar to fall.
In terms of commodity prices, New York's February gold futures rose by US$2 per ounce to US$2.5. At the same time, international oil prices have fallen. New York's February oil futures traded at US$1254.4 per barrel, down 2 cents. London Brent oil futures closed at US$93.72 per barrel, down 65 cents.