Shares in mainland China eked out tiny gains, while benchmarks in Hong Kong, South Korea and Australia all declined.
China’s economy grew at a faster pace last quarter than economists forecast as consumers ramped up spending, but the recovery was uneven with industrial activity relatively subdued.
The yuan strengthened following the data before giving back part of its gains as caution resurfaced. The dollar was little changed, snapping a two-day gain. Government bonds fell in Australia and New Zealand after Treasuries declined on Monday.
“Most of the major numbers beat estimates, especially GDP and retail sales but property investment is still lagging and misses expectations,” Willer Chen, senior analyst at Forsyth Barr Asia Ltd., said on the China data.
That “echoes with broader concerns that the property market rebound could be a short-lived one as investments are not picking up,” he said.
Treasuries were little changed in Asia, with the two-year yield holding just below 4.2%. Federal Reserve Bank of Richmond President Thomas Barkin said he wants to see more evidence that US inflation is easing back to the central bank’s goal of 2%.
New York state manufacturing activity unexpectedly expanded in April for the first time in five months as new orders and shipments snapped back.
