Sometimes bad news can be well received on markets.

Like today. China's release of poor economic data, showing a decline in China's official factory purchasing managers' index to a nine-month low, falling below 50 for the first time since November, might have been expected to throw a bit of a pall over markets.

(HSBC hardly helped by showing its own China Manufacturing Purchasing Managers Index had fallen to 47.6 in August, the lowest level since March 2009, and down from 49.3 in July.)

But, in the light of the apparently greater willingness of central banks to act to support growth - as highlighted by US Federal Reserve chairman Ben Bernanke's speech in Jackson Hole on Friday, but also increasingly expected in China – the data were seen as encouraging Beijing authorities to ease monetary policy.

China reaction

The impact was a positive one on many markets.

In China itself, Shanghai shares gained 0.6%, while agricultural commodities made gains pretty much across the board as of 08:40 UK time (02:40 Chicago time).

Corn's gains were limited to 0.2% for the Dalian exchange's best-traded January corn contract, taking it to 2,390 yuan a tonne at the close. And, after all, grains closed down in Chicago on Friday.

On the Zhengzhou, January wheat added 0.4% to 2,540 yuan a tonne.

Upbeat oilseeds

But Dalian soybeans for January added 1.2%, to 4,975 yuan a tonne, setting a contract high of 5,008 a tonne earlier.

And January soyoil soared 2.4% to end at 10,238 yuan a tonne, also after having set a contract high, of 10,278 yuan a tonne.

And, sticking with oilseeds, Kuala Lumpur palm oil was 1.1% higher at 3,054 ringgit a tonne for November delivery, in afternoon deals.

The vegetable oil received extra support from data on Friday from cargo surveyor Intertek Testing Services showing Malaysia's palm exports up 18% month on month.

Rubber bounces

In Tokyo, rubber, as an industrial commodity, got a particular boost from ideas of measures to boost growth in major economies, implying higher auto sector activity too.

The benchmark February contract soared 4.6% to 227.80 yen a kilogramme, with data showing a decline in inventories eligible for delivery in the exchange, down 606 tonnes to a one-year low of 7,387 tonnes, also boosting sentiment.

The rise comes against a background too of measures by major exporters Thailand, Indonesia and Malaysia to support prices by chopping plantations and reducing shipments.

While that did not stop rubber prices falling for a sixth successive monthly loss in August, the pace of decline at least slowed last month, dropping 5.2%.

Big orders

In Europe, while grain markets lack the influence of US markets, closed for the Labor Day holiday, futures are also expected to open firm after wheat orders at the weekend totalling more than 900,000 tonnes.

Saudi Arabia on Sunday purchased 575,000 tonnes of hard wheat from Australia, the European Union and North and South America, for shipment in the December-to-February period.

The orders followed Egypt's purchase of 355,000 tonnes of Romanian, Russian and Ukrainian wheat.

Russian wheat, at 240,000 tonnes, formed the bulk of the wheat order, with Egypt seen eager to act swiftly in filling its boots with relatively cheap supplies before export supplies from drought-hit Russia run dry.