Asian Stocks Climb on Japan Tariff Relief, Tech Earnings Boost – Asia Market Wrap
Asian stocks rose, led by Japanese shares, as signs of easing trade tensions with the US and upbeat tech earnings lifted sentiment.
The MSCI Asia Pacific Index gained 0.4%, set for a fifth day of gains. The Nikkei-225 index advanced 2.2%, after Japan’s trade negotiator said the US agreed to end so-called stacking on universal tariffs and cut car levies. SoftBank and Sony rose after earnings. Equity-index futures for the US and Europe were up 0.2%. Treasuries inched higher with the yield on the 10-year falling one basis point to 4.24%.
Gold futures in New York surged following a Financial Times report that said bullion bars face US tariffs. The most-active contract jumped to an all-time intraday high above $3,534 an ounce in New York, widening its premium over the spot price in London. Oil headed for the biggest weekly loss since June.
Asian shares are on track for their best week since June, buoyed by growing speculation of a Federal Reserve interest-rate cut, even as tariff headlines continue to jolt sentiment. In his latest trade salvo, President Donald Trump escalated tensions by targeting India and imposing a 39% levy on Swiss exports to the US, while saying he’s “getting very close to a deal” with China.
The US confirmed it would end stacking of universal tariffs on Japan and cut car levies as promised, Tokyo’s top trade negotiator Akazawa said after a meeting on Thursday with his counterparts in Washington.
American officials expressed regret that the stacking rule had been applied to Japan despite a verbal agreement, and said Washington would refund any overpaid levies, he said. No time frame was agreed for the implementation, Akazawa said after the meetings. Toyota, Honda and other carmakers jumped on the comments. Technology companies also helped the rally in Japanese stocks. SoftBank shares surged to a record after it swung to a quarterly profit. Sony shares extended gains after boosting its operating income guidance.
