tokyo 08 09, 2012, 06:10 IST
Asian shares inched up on Thursday with investors turning to data from China for any policy implications on future stimulus, amid guarded optimism for decisive action by Europe to tackle the euro zone debt crisis and global growth slowdown.
Chinese inflation and Australian employment figures are due at 0130 GMT, followed by China's industrial output and retail sales later in the session.
Investors will be looking for clues on the prospect for the Chinese economy in the second half after a lacklustre first half performance by the world's second-largest economy.
MSCI's broadest index of Asia-Pacific shares outside Japan <.MIAPJ0000PUS> was up 0.2 percent, after rising to a three-month high on Wednesday and posting a 2.1 percent rise during the three-day increase since Friday.
Japan's Nikkei stock average opened down 0.1 percent. <.T>
"From Chinese data to a Bank of Korea policy meeting, a busy calendar of events will likely keep investors on the backfoot after the sharp rally seen of late," said Woori Investment & Securities in a note to its clients.
Markets have been supported over the previous three sessions on hopes the European Central Bank will start buying sovereign bonds to lower borrowing costs for Spain and the Federal Reserve to strengthen its monetary easing, despite a lack of comments or
data supporting such views and suggestions from the authorities that any steps will not likely take place before September.
Australian employment data is expected to show a rebound and Chinese inflation could be affected by rising food inflation, although such a problem remains low.
South Korea's central bank is expected to cut interest rates by 25 basis points at a meeting on Thursday, which is not entirely priced in and could boost Korean shares, Societe Generale said in a research.
The Bank of Japan is expected to stand pat when it concludes its two-day policy meeting on Thursday.
Asset returns in 2012: http://link.reuters.com/nyw85s
Euro zone bonds yields: http://link.reuters.com/seq59s
The euro steadied at $1.2370, capped below a one-month high of $1.2444 hit on Monday.
Oil ending mixed on Wednesday. Brent was down 0.2 percent at $111.94 a barrel on Thursday while U.S. crude futures were little changed at $93.39 a barrel.
U.S. corn futures jumped on Wednesday as the market braced for a government crop report that may predict the lowest yielding corn harvest in 15 years.
Data on Wednesday showed the adverse impact from the euro zone's three-year debt crisis has spread to the region's core economies, with industrial output in Germany falling more than expected in June, while German imports and exports fell in June.
In France, another core euro zone member, its central bank said the economy was likely to slip into a shallow recession in the third quarter.
Spain was spared further negative news when ratings agency DBRS on Wednesday stopped short of cutting Spain and Ireland's debt below a European Central Bank trigger for extra charges to banks using the countries' bonds as collateral.
DBRS is the last of the four agencies used by the ECB to keep the sovereigns at the A level.
Asian credit markets were resilient, with the spread on the iTraxx Asia ex-Japan investment-grade index tightening by 2 basis points and hovering near a four-month low.
