By Chikako Mogi
TOKYO (Reuters) – Asian shares and the euro rose on Tuesday as slightly better-than-expected Chinese economic growth data soothed investor worries that the euro zone debt crisis is dragging down the global economy.
Copper and other industrial metals, and commodity-linked currencies such as the Australian dollar, also advanced on signs European woes have not derailed the growth trend in the world’s second largest economy, a giant importer of commodities.
China’s gross domestic product grew at an annual rate of 8.9 percent in the fourth quarter, its weakest in 2- years and slowing from 9.1 percent in the previous quarter, but it beat expectations for a 8.7 percent rise.
“The slowdown is quite modest, and the overall situation of the Chinese economy is stable,” said Hua Zhongwei, analyst with Huachuang Securities in Beijing. “According to our field studies, demand for heavy equipment and machinery is recovering, and that is a very good sign for the economy.”
Materials (:.MIAPJMT00PUS) and energy (:.MIAPJEN00PUS) sectors led a 2 percent climb in the MSCI’s broadest index of Asia Pacific shares outside Japan (:.MIAPJ0000PUS). By region, Shanghai shares (:.SSEC) rose more than 3 percent and Hong Kong (HKSE:^HSI – News) shares added 2.2 percent, while shares in resource
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