Global stock markets have posted significant gains as indications of easing trade tensions between China and the United States continue to emerge. Investors have returned to buying mode after a turbulent week sparked by President Donald Trump’s threat to impose 100 % tariffs on China over rare‑earth export controls. Trump has since softened his rhetoric, expressing optimism about an upcoming meeting with Chinese President Xi Jinping at the APEC summit in South Korea. He emphasized his desire for a “fair” trade deal, spoke positively about his relationship with Xi, and said he wants to maintain good relations with China. These conciliatory remarks have helped Wall Street surge, with a tech‑led rally pushing markets to record highs.
In Asia, markets have posted strong gains. Tokyo’s Nikkei 225 rose more than 1 % to a new record, following a 3.4 % jump on Monday, as Japan prepares to swear in its first female prime minister, Sanae Takaichi. Her premiership is expected to bring stability and potentially aggressive monetary easing, which has cheered investors. Hong Kong, Shanghai, Singapore, Sydney, Seoul, Taipei, Manila and Jakarta all posted positive returns. At 02:30 GMT, the Tokyo Nikkei 225 was up 1.5 % at 49,929.81, the Hong Kong Hang Seng Index up 1.5 % at 26,225.09, and the Shanghai Composite up 0.6 % at 3,885.92.
In the United States, the New York Dow rose 1.1 % to 46,706.58 and the London FTSE 100 gained 0.5 % to 9,403.57. The euro and pound fell against the dollar, while the dollar strengthened against the yen. Oil prices slipped, with West Texas Intermediate down 0.5 % at $57.22 per barrel and Brent at $60.82 per barrel, down 0.3 %.
According to Rodrigo Catril of National Australia Bank, markets are hopeful about a potential thaw in US‑China relations, with Trump highlighting rare earths, fentanyl and soybeans as key issues ahead of trade talks. In company news, Australian mineral producers rallied after a deal between Trump and Australian Prime Minister Anthony Albanese to increase rare‑earth shipments to the United States.
Meanwhile, China’s leaders are holding a four‑day conclave to discuss strategies for reviving sluggish household spending and addressing woes in the property sector, after data showed the country’s economic growth slowed to its lowest rate in a year during the third quarter.
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