Dip Buyers Emerging?

Regional equities have rebounded today, particularly the higher beta plays. The late US equity rally from Wednesday has helped, while US futures have tracked higher in the first part of trade today (Eminis +0.15%, Nasdaq +0.37%). Talk of China efforts to boost consumption is likely to have aided sentiment for China bourses and across the region.

• The HSI is up 2.20% at this stage, with the China Enterprise Index slightly better at +2.50%. With both indices 8-10% off Jan highs, dip buyers may be starting to emerge.
• Onshore the CSI 300 is up around 1%. Yesterday a speech by Xi Jinping from late last year was released, stressing efforts to boost lower and middle income consumption this year. Local papers reported the President calling on local governments to do more to boost consumption.
• Elsewhere, tech plays in South Korea (1.88%) and the Taiex (0.88%) are firmer. Offshore investors have added +$133.1mn to local shares in Korea. Japan stocks are +0.77% for the Nikkei at this stage.
• The ASX 200 is +0.80%, while Indonesian stocks are the only major bourse within the region lower, off 0.2% at this stage. A big onshore property developer, Waskita, is seeking to delay a bond payment, which has weighed on sentiment at the margin.