Asian stocks hover near yearly highs post-China inflation

The Asian equity markets are seen consolidating the previous heavy gains and waver in a narrow near one-year highs, as sentiment soured somewhat after China’s prices data failed to impress markets.

The Chinese CPI rose 1.8% y/y in July, slightly stronger than the 1.7% growth expected. PPI dropped sharply from 2.6% in June to 1.7% last month versus a 2.0% fall predicted.

Moreover, a moderately lower close on the Wall Street overnight also restricts further upside in its Asian rivals this Tuesday. While poor NAB business confidence and conditions data from the OZ economy, further collaborated to the cautious moods witnessed in the equities.

Meanwhile, the Japanese benchmark index, the Nikkei 225 trades +0.09% higher around 16,665. The Australian markets also defend gains, with the S&P/ASX 200 now trading +0.05% higher at 5,540 points.

The Chinese equities fail to keep gains, with the benchmark Shanghai Composite index down -0.12% just above 3k mark; the CSI300 index trades muted above 3,230. While Hong Kong markets drop -0.32%  to 22,420 levels.