Asian Stock Market: Trades mixed as China's Evergrande risk eases

• Asian stocks show mixed trend on Thursday tracking Wall Street price action.
• Ebbed China’s Evergrande default risk, Fed’s tapering expectations fills up traders' dairy.
• Mixed Chinese data and bargain hunting pull up stock demand.

Asia-Pacific stocks trade mixed on Thursday tracking the mixed cues from Wall Street as traders lookout for stocks bargain hunting following the recent sell-off. The concern about the Chinese property giant Evergrande default risk eased after it reported plans to settle debt with a Chinese bank.

MSCI’s broadest index of Asia-pacific shares outside Japan declined 0.06%.

The Shanghai Composite Index gained 0.31%  after closing at its lowest in months on Wednesday. The service activity in China returned to growth in September whereas the official NBS manufacturing PMI shrinks at 49.6 in September as compared to 50.1 in August.

Japan’s Nikkei 225 lost 0.36%,  falling for the fourth straight session amid growing concerns about economic growth in China owing to a worsening power shortage. The Industrial Output fell sharply in August.

The ASX 200 gained 1.48% on Thursday recovering from a sharp fall in the previous session after Australian Treasurer Josh Frydenberg said that Australia’s economy is resilient and well positioned to bounce back from the COVID-19.

The US Dollar Index (DXY), which measures the greenback against six major currencies, extended gains and traded near 94.30, the highest since September 2020 on the rising expectations of Fed tapering in November.