Asian markets mixed following ECB decision to extend its bond purchase programme

While Asian stock market indices were trading mixed on Friday (9 December), the Shanghai Composite was up 0.79% at 3,240.77 at 5.18am GMT following the European Central Bank's decision on quantitative easing (QE).

On Thursday, the ECB said it would extend its bond purchase programme by nine months to December 2017. This was taken as a positive move as it is three months longer than what some analysts had forecast.

However, on the downside, the central bank said it would reduce the quantum of monthly purchases. From April 2017, it said, it would purchase assets worth €60bn (£50.57bn), down from the current €80bn figure.

While the ECB decision had both tightening and loosening measures, analysts said many investors had focused on the positive aspects. "More QE removes concerns... It gives investors confidence," Alex Furber, sales trader at CMC Markets, was quoted as saying by the Wall Street Journal.

Meanwhile, in China, the producer price index, a weighted index of prices measured at the wholesale or producer level rose 3.3% on-year in November. This indicated that the increase in demand and pricing power for industries in the world's second largest economy had improved.

Also, China's consumer price index, which measures changes in the price level of a market basket of consumer goods and services purchased by households was reported to have increased 2.3% on-year in November. These figures helped boost investor confidence in the region.

Indices in the region were trading as follows at 5.46am GMT:

On 8 December, the FTSE 100 closed 0.42% higher at 6,931.55, while the S&P 500 Index closed 0.22% higher at 2,246.19.

Among commodities, oil prices gained ahead of Saturday's oil producers meeting in Vienna. As of 5.53am GMT, WTI crude oil was trading higher by 0.79% at $51.24 (£40.70) a barrel, while Brent crude was trading 0.43% higher at $54.12 a barrel.