Global Markets:
- Asian Stock Markets : Nikkei up 1.76%, Shanghai Composite up 0.72%, Hang Seng up 2.01% ASX up 1.34%
- Commodities : Gold at $3242.35 (-0.09%), Silver at $31.47 (-0.08%), Brent Oil at $64.65 (-0.45%), WTI Oil at $61.46 (-0.34%)
- Rates : US 10-year yield at 4.471, UK 10-year yield at 4.7525, Germany 10-year yield at 2.5272
News & Data:
- (USD) Core PPI m/m -0.1% to 0.3% expected
- (USD) PPI m/m -0.4% to 0.2% expected
Markets Update:
Asia-Pacific markets surged Monday after U.S. President Donald Trump paused tariffs on certain consumer electronics, lifting investor sentiment. Hong Kong led regional gains, with the Hang Seng Index climbing 2.31% and the Hang Seng Tech Index rising 2.52%. In mainland China, the CSI 300 edged up 0.47%.
Japan’s Nikkei 225 jumped 1.92%, while the broader Topix index gained 1.63%. South Korea’s Kospi added 0.98%, and the small-cap Kosdaq rose 1.82%. Australia’s S&P/ASX 200 was up 1.35% in late trading. Indian markets were closed due to a public holiday.
The tariff pause includes exemptions on smartphones, computers, semiconductors, and other components, according to U.S. Customs and Border Protection guidance issued late Friday. However, both Trump and Commerce Secretary Howard Lutnick signaled Sunday that the exemptions may be temporary. Trump stated via Truth Social that these items remain “subject to the existing 20% Fentanyl Tariffs” and are now in a different tariff category.
Several Asia-Pacific countries are preparing for trade talks with the U.S. this week. Trump is prioritizing negotiations with key partners like Vietnam, India, South Korea, and Japan as part of efforts to counter China’s influence. Japan’s top trade official Akazawa Ryosei is set to visit the U.S. for discussions with Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer, according to NHK.
U.S. futures also rose, following a strong close last Friday. The S&P 500 climbed 1.81%, the Dow Jones rose 1.56%, and the Nasdaq gained 2.06%.
Upcoming Events:
- 12:30 PM GMT – CAD Wholesale Sales m/m
