Most Asian markets climbed on Tuesday, buoyed by Monday’s sharp de-escalation in U.S.–China trade tensions. Yet Chinese benchmarks lagged, weighed down by profit-taking and doubts over fresh domestic stimulus.
Tariff Truce Sparks Regional Rally
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Wall Street Fuel: U.S. indices surged on Monday after Washington agreed to cut tariffs on China from 145% to 30%, while Beijing trimmed its duties on U.S. goods from 125% to 10%.
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Asian Outperformance:
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Japan’s Nikkei 225: +1.7%
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TOPIX: +1.2%
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Australia’s ASX 200: +0.7% (highest since late February)
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Singapore’s Straits Times: +0.7%
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South Korea’s KOSPI: +0.4%
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Markets now seek a full rollback of tariffs—any sign of further de-escalation could propel another leg higher.
Chinese Shares Underperform
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Mainland CSI 300 & Shanghai Composite: +0.2% each
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Hang Seng: –1.7% from a one-month peak
Xiaomi (HK:1810) led losses, down 4% after backlash over its SU7 Ultra EV claims. Analysts also caution that with trade pressures easing, Beijing may delay additional fiscal stimulus—an imperative given recent weak PMI and inflation prints.
U.S. Inflation Data Looms
Asian investors are bracing for the U.S. Consumer Price Index due later Tuesday, which could reshape global risk sentiment. A hotter-than-expected reading may curb hopes for Fed easing and dent equity gains.
Stay ahead of the schedule and consensus forecasts by tracking key macro releases via the Economics Calendar API.
What to Watch Next
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Tariff Rollback Progress: Look for detailed roadmaps in upcoming U.S.–China working-level talks.
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Beijing Stimulus Signals: Any signals on fiscal packages—particularly infrastructure or property-market support—will be closely scrutinized by mainland and Hong Kong stocks.
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U.S. CPI Surprise Risk: A surprise print could trigger profit-taking in growth and export-oriented names across Asia.
By combining real-time trade policy updates with precise macro event tracking, investors can navigate the delicate balance between risk-on rallies and macro-driven caution in Asian markets.
