Asian markets fall on poor US data

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Asian markets fall on poor US data

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The US Labour Department reported numbers of unemployed were close to 13 million and hiring slowed.

09 April,2012 09:54 am

Asian markets edged lower in limited holiday trade Monday after weaker-than-expected US jobs data hit market sentiment while rising inflation in China also weighed on investors.A stronger yen -- which rose after figures showed Februarys current account swung back to surplus from a record deficit in the previous month -- took a toll on Japanese exporters shares.Tokyo fell 1.06 percent, Shanghai dropped 0.81 percent, while Seoul was down 1.32 percent. Markets Hong Kong, Manila, Sydney, Wellington and Bangkok were all closed.The US Labor Department reported Friday that the number of unemployed workers hovered close to 13 million and hiring slowed, a warning sign that an economic recovery in the worlds biggest economy may be in trouble.Economists had expected the economy to power ahead in March and create upwards of 200,000 jobs, amid signs that the recovery is finally becoming self-sustaining after a sluggish improvement from the worst recession in decades.But the Labor Department figures showed that the economy only pumped out 120,000 jobs last month, although the unemployment rate did dip from 8.3 percent to 8.2 percent -- a three-year low.The disappointing employment data certainly re-opens the door for the market to consider further accommodation down the road from the Fed, Barclays said in a note to clients, referring to monetary easing by the US central bank.This makes US economic data in the lead-up to the Feds June meeting important for the US dollars prospects.Shares in Japanese exporters were hit by a stronger yen.The Japanese currency got a boost after official figures Monday said the countrys current account registered a surplus in February thanks to a stronger US economy, reversing a record deficit in January.Chinas consumer price index, the main gauge of inflation, hit 3.6 percent in March, higher than the median forecast of 3.3 percent based on 15 economists polled by Dow Jones Newswires.US and major European markets were closed for the Good Friday holiday, with many European bourses also closed on Monday.Oil prices slid in Asian trade following the disappointing US jobs data.New Yorks main contract, West Texas Intermediate crude for delivery in May, shed $1.21 to $102.10 per barrel. Brent North Sea crude for May settlement was down $1.08 at $122.35 in morning trade.The European single currency was changing hands at $1.3050 and 106.38 yen Monday, slipping from $1.3070 and 107.53 yen in Tokyo trade on Friday. The dollar was at 81.52 yen, down from 82.27 yen.Gold was at $1,639.78 an ounce at 0355 GMT, compared with $1,629.40 late Friday.