Investing.com - Asian stocks were mixed on Tuesday, caught in a tug-of-war between strong retail sales data coming out of the U.S. and fears the European debt crisis was escalating in Spain.
During Asian trading on Tuesday, Hong Kong's Hang Seng Index was down 0.27%, Australia's S&P/ASX200 was up 0.04%, while Japan’s Nikkei 225 Index was up 0.19%.
In Europe, yields have been rising in Spanish government bond auctions, fueling fears that Spain will be the next eurozone country in need of either a bailout or European Central Bank intervention in the country's bond market to ease credit conditions.
The cost of insuring Spanish sovereign debt against default is soaring, pushing the yield on the country’s 10-year bonds above the 6% level on concerns Spain will miss targets to narrow its deficits.
European debt concerns sent investors selling, as Europe is a large export market for many parts of Asia.
So is the U.S., where the news was better.
U.S. retail sales figures surprised on the upside for many, coming in much stronger at a seasonally adjusted 0.8% gain in March, according to the U.S. Commerce Department, beating expectations for a 0.3% gain.
February’s figure was revised down just slightly to a 1.0% gain from a previously reported increase of 1.1%.
Core retail sales, which are stripped of automobile sales, rose by 0.8% last month, above expectations for a 0.6% gain, after rising by 0.9% in February.
The news sparked hope the country's first quarter growth figures will surprise on the upside as well.
Earlier this month, the Bureau of Labor Statistics unveiled a dismal jobs report for March, pointing out the economy added a net 120,000 nonfarm payrolls, which stoked fears of a weak first quarter.
The U.S. economy grew 3 percent in the fourth quarter of last year.
In Hong Kong, the top decliners included Esprit Holdings, down 2.17%, CHALCO, down 1.86%, and Bankcomm, down 1.70%.
Top Australian gainers included OM Holdings Limited, up 9.52%, Kagara Zinc, up 9.09%, and Energy Resources of Australia, up 7.64%.
European stock futures indicated a lower opening.
France's CAC 40 futures pointed to a loss of 0.04%, while Germany's DAX 30 futures signaled a loss of 0.08%. Meanwhile, in the U.K., the FTSE 100 futures indicated a loss of 0.03%.
Dow Jones Industrial Average futures were down 0.05% while the S&P 500 futures were down 0.10%.
Later Tuesday, the Reserve Bank of Australia is to publish the minutes of its most recent policy-setting meeting, which give investors important insights into current economic conditions from the bank’s perspective.
Australia is also to release official data on new motor vehicle sales, a sign of consumer confidence.
During Asian trading on Tuesday, Hong Kong's Hang Seng Index was down 0.27%, Australia's S&P/ASX200 was up 0.04%, while Japan’s Nikkei 225 Index was up 0.19%.
In Europe, yields have been rising in Spanish government bond auctions, fueling fears that Spain will be the next eurozone country in need of either a bailout or European Central Bank intervention in the country's bond market to ease credit conditions.
The cost of insuring Spanish sovereign debt against default is soaring, pushing the yield on the country’s 10-year bonds above the 6% level on concerns Spain will miss targets to narrow its deficits.
European debt concerns sent investors selling, as Europe is a large export market for many parts of Asia.
So is the U.S., where the news was better.
U.S. retail sales figures surprised on the upside for many, coming in much stronger at a seasonally adjusted 0.8% gain in March, according to the U.S. Commerce Department, beating expectations for a 0.3% gain.
February’s figure was revised down just slightly to a 1.0% gain from a previously reported increase of 1.1%.
Core retail sales, which are stripped of automobile sales, rose by 0.8% last month, above expectations for a 0.6% gain, after rising by 0.9% in February.
The news sparked hope the country's first quarter growth figures will surprise on the upside as well.
Earlier this month, the Bureau of Labor Statistics unveiled a dismal jobs report for March, pointing out the economy added a net 120,000 nonfarm payrolls, which stoked fears of a weak first quarter.
The U.S. economy grew 3 percent in the fourth quarter of last year.
In Hong Kong, the top decliners included Esprit Holdings, down 2.17%, CHALCO, down 1.86%, and Bankcomm, down 1.70%.
Top Australian gainers included OM Holdings Limited, up 9.52%, Kagara Zinc, up 9.09%, and Energy Resources of Australia, up 7.64%.
European stock futures indicated a lower opening.
France's CAC 40 futures pointed to a loss of 0.04%, while Germany's DAX 30 futures signaled a loss of 0.08%. Meanwhile, in the U.K., the FTSE 100 futures indicated a loss of 0.03%.
Dow Jones Industrial Average futures were down 0.05% while the S&P 500 futures were down 0.10%.
Later Tuesday, the Reserve Bank of Australia is to publish the minutes of its most recent policy-setting meeting, which give investors important insights into current economic conditions from the bank’s perspective.
Australia is also to release official data on new motor vehicle sales, a sign of consumer confidence.