Asian share markets were mixed on Monday as caution grew ahead of Chinese data, although sentiment for a Fed interest rate hike continued to be strong.
Investors remained guarded ahead of a host of Chinese data due out during the week which are expected to point to a still sluggish economy. Trade figures should be out on Tuesday, followed by inflation numbers on Wednesday and industrial output and retail sales on Saturday.
Oil Still at its Lowest
Meanwhile, oil prices continue at their lowest since 2009 following the Organization of the Petroleum Exporting Countries' decision to keep production high despite depressed demand.
U.S. crude futures once again dipped below the $40-mark. West Texas Intermediate (WTI) futures traded at 46 cents or 1.15 percent lower at $39.51 while Brent was down 20 cents or 0.47 percent at $42.80. OPEC left its production levels unchanged at its OPEC meeting on Friday for the third year in a row despite a global supply glut.
The Nikkei 225 up 194 points or 1 percent at 19,698 while the Topix closed up 11 points or 0.71 percent higher at 1,585.
On Wall Street, the Dow had rallied 2.12 percent on Friday on news that U.S. employment numbers had come in as expected, while the S&P 500 gained 2.05 percent and the Nasdaq 2.08 percent.
The dollar, however, ended the week lower while Treasury yields actually fell.
Market reactions to a hike are still in doubt. According to David Cannington, a senior economist at ANZ, "So while the Fed's decision is shaping as somewhat of a done deal, how the market reacts to a Fed hike still contains an element of uncertainty."