Hong Kong’s benchmark stock index soared, tracking advances across most Asian markets, after US President Donald Trump hit a 90-day pause on his import tariffs for most of America’s trading partners except China.
Hang Seng Index rose 2.7 per cent to 20,810.43 when trading commenced. On the mainland, the CSI 300 Index, which tracks the 300 largest companies in Shanghai and Shenzhen, rose 1.7 per cent to 3,749.13 when transactions began. The Shanghai Composite Index increased 1.3 per cent to 3,227.84, while the Shenzhen Composite Index rose 2 per cent at 1,860.31.
Trump announced a 90-day pause overnight on slapping tariffs on every trading partner – excluding mainland China and Hong Kong – that was subject to his 10-per cent baseline levy. That announcement sent Wall Street reeling, pushing the S&P500 index to jump 9.5 per cent, while the Nasdaq closed 12.2 per cent higher, in the biggest one-day jump in 24 years.
“The overnight announcement from the US is welcome news,” said ANZ Group’s chief economist Richard Yetsenga. “The global situation remains fluid, but conditions have improved. The administration has pivoted. The pivot is not a reversal, but it is good news.”
Benchmark gauges soared in most of the Asia-Pacific markets that began trading before Hong Kong. The Nikkei 225 index opened 1.9 per cent higher before surging to an intraday high of 8.3 per cent, lifting Japan’s stock index from its bear market.
In Seoul, the Kospi index opened 4.4 per cent higher. In Sydney, the ASX 200 index was unchanged at the start before jumping 5.1 per cent to an intraday high. In Wellington, the NZ50 benchmark advanced 3.8 per cent from a flat opening.
