Markets Mixed After US Inflation Data, China Figures Give Boost

Asian markets were mixed Monday after data showed a slight uptick in US inflation but Federal Reserve boss Jerome Powell said the reading was "In line with expectations". Long-awaited figures on the personal consumption expenditures index - the Fed's preferred gauge of inflation - showed a small on-year rise in March compared with February, though the core reading eased slightly. Powell said the report "Is pretty much in line with our expectations" and decision-makers were on track to hit their long-term inflation target of two percent. He said that while the recent inflation data was higher than the Fed would have liked, the February figures were "Definitely more along the lines of what we want to see". Shanghai jumped around one percent as traders welcomed news that China's manufacturing grew for the first time in half a year, giving a boost to leaders as they battle to kickstart the struggling economy. The 50.8 reading in March was the first showing expansion since September and was well above forecasts. Tokyo sank more than one percent as the Bank of Japan's closely watched Tankan survey showed confidence among Japan's largest manufacturers slipped in the first quarter, having risen for three straight quarters.