European Futures Rise on Germany While Asian Stocks Fall – Asia Market Wrap

Asian shares declined, breaking a blistering rally in technology stocks after an executive order from Trump restricting Chinese spending on some strategic US sectors. The Euro climbed.

Shares in mainland China and a technology stock index in Hong Kong fell after rising on Friday, driven by falls in Alibaba and Tencent, US market index futures rose, as did contracts on Germany’s benchmark stock index following the conservative party’s victory in the country’s federal election.

Trump authorised the Committee on Foreign Investment in the US to restrict Chinese investment on technology, energy and other vital US industries, his administration’s latest salvo against the world’s second-largest economy. The move may prompt a reversal in Chinese markets after a strong run, according to JPMorgan strategists.

Chinese technology stocks have surged this year, fuelled by optimism about DeepSeek and Xi’s meeting with prominent industry leaders, including Alibaba co-founder Jack Ma. The Euro-area’s flagship blue-chip index gained roughly 12% during that time span, surpassing the S&P 500.