Asian equities cheered the initial positive comments concerning the US-China trade meeting over the weekend and the India-Pakistan truce, as the Renminbi appreciated nearly +0.5% versus the US dollar. Indonesia, Thailand, and Singapore were closed for Vesak Day, celebrating the birth, Enlightenment, and death of the Buddha.
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Asian equities cheered the initial positive comments concerning the US-China trade meeting over the weekend and the India-Pakistan truce, as the Renminbi appreciated nearly +0.5% versus the US dollar. Indonesia, Thailand, and Singapore were closed for Vesak Day, celebrating the birth, Enlightenment, and death of the Buddha.
After Japan, South Korea, Taiwan and Mainland China’s Shanghai and Shenzhen markets closed today, Hong Kong stocks went vertical once the 3 pm local time press conference from Treasury Secretary Bessent and US Trade Representative Greer revealed the larger than expected 90-day drop in US tariffs on Chinese goods from 145% to 10%, though it appears a 20% additional levy could remain pending progress on curbing fentanyl precursor imports, and China’s tariffs on US goods from 125% to 10%. Bessent said that “substantial progress” had been made, though Vice Premier He Lifeng, China’s Minister of Commerce, did not elaborate beyond the joint statement. With Treasury Secretary Bessent’s comments on supply chain independence in “strategic industries,” we can assume that this includes steel, aluminum, semiconductors, and pharmaceuticals.
The Hang Seng, Hang Seng Tech, Shanghai, and Shenzhen indexes all closed above, i.e. “filled the gap”, from their pre-Liberation Day levels.
