Asian markets mixed at open following US' rally, Trump’s talk on China trade deal
Tokyo's Nikkei 225 was 1.17% higher on Tuesday morning while China's Shanghai Composite Index rose 1.16%. Hong Kong’s Hang Seng Index slid 0.11%, amid the months of anti-government protests in the region.
Most markets in Asia rose on Tuesday morning, following the equities rally in the United States (US) overnight after American president Donald Trump spoke on a possible China trade deal.
Trump reversed gears again, telling reporters on Monday the US and China were set to resume efforts to resolve their year-long trade war.
Last weekend, China’s Finance Ministry announced new tariffs of between 5% and 10% on US$75 billion worth of goods from the US, in a retaliation to the earlier 10% of tariffs on US$300 billion worth of Chinese goods. The Finance Ministry also reinstated 25% of tariffs on US automobiles and auto parts. The tariffs were initially suspended after the leaders of both countries met in Argentina last year.
US president Donald Trump had in response ordered US firms to ‘immediately start looking for an alternative to China’.
Tokyo’s Nikkei 225 opened higher on Tuesday, up 1.02% in early trade, edging higher subsequently at 10.45am Tokyo time, up 1.17% or 236.75 points, at 20,497.79.
China’s Shanghai Composite Index rose 1.16% or 33.11 points, at 2,896.68. Meanwhile, the smaller board Shenzhen Composite Index gained 0.90% or 14.05 points, to 1,580.62.
Singapore’s Straits Times Index edged 0.15% or 4.55 points higher, at 3,069.88. Malaysia’s Kuala Lumpur Composite Index fell by 0.25% or 4.04 points, at 1,596.49.
Hong Kong’s Hang Seng Index slid 0.11% or 29.44 points, at 25,650.89, amid the months of anti-government protests in the region.
Wall Street recouped some of its losses from last week, with the Dow Jones Industrial Average up 1.05% or 269.93 points to end Monday’s session at 25,898.83. The broader S&P 500 gained 1.10% or 31.27 points to close at 2,878.38.
Tech-rich Nasdaq leaped 1.32% higher, or 101.97 points, to settle at 7,853.74.
Oil prices rise on Trump’s calming words
Oil prices rose on Tuesday with Brent Crude oil futures up by 27 US cents, or 0.5%, at US$58.97 per barrel at 00.24am GMT. US crude oil gained 23 US cents at US$53.87 per barrel.
Brent oil fell 1% in the previous session and was down for the third day in a row while US crude oil also dropped 1% previously after four days of declines.
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