China's Disappointing GDP Sends Shockwaves Through Stock Markets

Asian markets are expected to continue facing challenges due to China's weak economic data and the surge in global bond yields. China's nominal GDP growth of 4.2% last year, the lowest since 1976, has contributed to the continued weakness in Chinese equities and property markets. Additionally, China's declining population poses a long-term headwind to potential growth. Global markets are also on the defensive as bond yields rise and rate cut expectations diminish, leading to the worst start for emerging market stocks since 2016 and widening performance gaps between emerging Asia and the rest of the world. Key economic indicators from Japan, Australia, and China are expected to provide further direction to markets.