Asia-Pacific Markets Surge on US-China Trade Hopes
Asian stock markets rallied sharply on Monday, driven by growing optimism that the Donald Trump-Xi Jinping meeting could yield a favourable trade agreement. Japan’s Nikkei 225 index climbed over 2 % to cross 50,000 for the first time, while South Korea’s KOSPI and Hong Kong’s Hang Seng Index also registered strong gains.
Trade Optimism Drives Rally
The positive sentiment was sparked by reports that U.S. and Chinese negotiators have outlined a potential framework to ease tariffs and delay export controls. Investors interpreted this as a sign that the long-running trade standoff may be moving toward a pause or resolution, boosting appetite for equities.
Broader Market Movements
Risk assets benefited broadly: safe-haven holdings such as gold fell modestly, while high-tech shares and regional indices saw the largest lifts. Foreign investment flows into Asia were buoyed by the expectation of stronger global growth and reduced trade uncertainty.
Looking Ahead
Despite the upbeat tone, analysts caution that the framework remains informal and outcomes will depend on how Americans and Chinese leaders implement the deal. Markets now focus on upcoming central-bank decisions, GDP data, and earnings releases for confirmation of momentum.
