Asian stocks rebound from three-and-a-half month lows
On Wednesday Asian stocks rebounded from a 3-1/2-month low after the U.S. President Donald Trump eased worries about the U.S.-China tariff war, and, consequently, on expectations that Beijing could unveil more economic stimulus.
In Europe market the pan-region Euro Stoxx 50 futures were up 0.24% in early trade, Germany's DAX futures gained 0.25% and FTSE futures rose 0.3%.
Shares in Asia were led by strong gains in Chinese equities, which rebounded after two days of losses.
According to Kota Hirayama, senior emerging markets economist at SMBC Nikko Securities in Tokyo, Chinese stocks are mounting a rebound as they had been oversold in recent sessions. The sentiment is also better as Trump seems to be ready for compromise in a trade war.
MSCI's broadest index of Asia-Pacific shares outside Japan gained 0.6%. As the China-U.S. trade conflict intensified the day before, the index had fallen to its lowest level since the end of January.
Wall Street shares were able to bounce overnight in wake of Trump's comments. China reported weaker growth in retail sales and industrial output for April, adding pressure on Beijing to roll out more stimulus as the trade war with the U.S. escalates.
The Shanghai Composite Index advanced 1.4%, shrugging off concerns about economic growth following weaker than expected Chinese data which was released on Wednesday.
Australian stocks added 0.8%, South Korea's KOSPI gained 0.6% and Japan's Nikkei climbed 0.5%.