Asian Stocks Surge as US Delays Mexico, Canada Tariffs
Asian markets rallied on Tuesday following President Trump's decision to postpone tariffs on Mexico and Canada for a month.
* Hong Kong's Hang Seng Index soared 2.10% to 20,642.58.
* Japan's Nikkei 225 jumped 1.61% to 39,140.41.
* South Korea's Kospi gained 1.63% to 2,493.99.
* Australia's S&P/ASX 200 rose 0.13% to 8,390.20.
The market optimism was fueled by the prospect of a potential deal between the US and China, as Trump announced plans to engage in talks with Chinese President Xi Jinping. The delay in tariffs on Canada and Mexico provided further relief to risk sentiments.
"The sharp pullback in the US dollar, along with tariff relief hopes, are likely to see markets retain their gains," said IG market strategist Yeap Jun Rong.
In the US, markets had a mixed performance on Monday. The S&P 500 fell 0.8%, while the Dow Jones Industrial Average lost 0.3%. However, losses were pared after Mexico's announcement of a one-month tariff reprieve.
In energy markets, US crude declined to $72.39, while Brent crude slipped to $75.60.
The US dollar strengthened against the Japanese yen (155.13 JPY) but weakened against the euro ($1.0317).