In summary, given that investors have been disturbed by potential contagion to Italy and Spain from the sovereign debt crisis, and brinkmanship in the US over raising the debt ceiling, the recent positive macro figures from China provide very welcome support to those who believe that risk assets will move higher (if fitfully) through the rest of the year.

Alice Brader works in the Pacific Regional Group at JF Asset Management based in Hong Kong. She covers Japanese and Pacific region equity products.