Stock markets up on better economic data

China’s A-share markets continued to gain ground on Friday, as investor sentiment was lifted on improved economic data in the first quarter.

The benchmark Shanghai Composite Index edged up 0.66 percent to finish at 2,838.49 points after a higher opening.

The smaller Shenzhen Component Index gained 0.55 percent to close at around 10, 527.99, while the ChiNext Index jumped 0.62 percent to finish at 2,020.77 points.

The combined turnover of the two bourses came to 740.2 billion yuan (US$104.5 billion), compared with the previous trading day’s 594.9 billion yuan.

Markets saw broad-based gains, led by the leisure service sector. Construction material manufacturers and electronics makers were also among the top performers.

China’s first-quarter GDP shrank 6.8 percent in 2020 as compared to a year ago, according to data from the National Bureau of Statistics.

From January to March, the country‘s service sector, which accounted for nearly 60 percent of the total GDP, dropped by 5.2 percent, while primary and secondary industries fell 3.2 percent and 9.6 percent, respectively.

"Driven by the improvement of economic data month on month, investors are becoming more active in trading,” Wu Chaoming, chief economist at Chasing Securities told caixin.com

Still, he cautioned that stock markets will face uncertainties as the COVID-19 pandemic is still spreading around the world.