Global Stocks Rally as Trump Backs Away From Europe Tariffs – Asia Market Wrap
Global equities looked set to build on recent gains after President Donald Trump walked back his threat of tariffs on Europe, easing fears of another flare-up in transatlantic trade tensions.
European equity futures jumped more than 0.7%, while markets across Asia advanced in tandem with Wall Street after Trump’s comments. US stock-index futures also pointed higher, signaling that the risk-on momentum may continue into the session.
Technology shares led the advance, with semiconductor stocks rallying after Nvidia chief executive Jensen Huang struck an upbeat tone on artificial intelligence at the World Economic Forum in Davos. Japan’s Disco surged 17%, Samsung climbed nearly 2%, and South Korea’s main equity benchmark — often seen as a proxy for global tech demand — pushed to a fresh record.
The improved mood weighed on defensive assets. Gold slipped 0.2% as demand for havens eased, while the dollar was little changed and US Treasuries edged lower.
Elsewhere, Japanese government bonds extended their rebound for a second day. In Australia, three-year bond yields climbed to the highest level since late 2023 after an unexpected drop in unemployment in December fueled speculation that the central bank could be forced to raise rates as soon as next month.
Cryptocurrencies drifted lower after signs that US legislation aimed at regulating digital assets may face delays. Bitcoin hovered around the $90,000 level.
