Asian markets exhibit sluggish trends on Monday

Stock markets in Asian region remained subdued on the month’s last trading session as investors lacked conviction to open fresh bets amid uncertain market condition. Downside in the region’s markets were capped tracking supportive over the weekend cues from US markets which extended their gaining streak on the back of encouraging quarterly earnings which counterbalanced the weaker than expected US economic growth numbers which came in at an annualized rate of 2.2% in the first quarter, down from 3% at the end of 2011. Investors added positions, overlooking the S&P’s downgrade of Spanish sovereign debt rating, after the weaker than expected US economic growth numbers triggered speculations that the US Fed would now have to employ third round of quantitative easing measures in order to stimulate the world’s largest economy.

The benchmark in Hong Kong remained in jubilant mood in an otherwise subdued Asian region, as it surged over a percent following the upmove in US and European markets at the end of last week. The South Korean shares too traded with a positive bias after reports showed the country's manufacturers' confidence increased to the highest level in nine months as it got boosted by signs of improving US and domestic demand. Meanwhile, stock markets in Japan remained closed on Monday on account of Bridge Public Holiday while the Chinese bourses too were shut owing to May Day holidays and will re-open directly on Wednesday.

Hang Seng surges 239.31 points or 1.15% to 20,980.76, KLSE Composite advanced 5.26 points or 0.34% to 1,573.06 and KOSPI Composite Index gained 3.84 points or 0.19% to 1,979.19.

On the flipside, Jakarta Composite declined 11.20 points or 0.27% to 4,152.78, Straits Times eased 3.50 points or 0.12% to 2,978.08 and Taiwan Weighted fell 18.39 points or 0.25% to 7,462.11.