Asian markets traded higher on Monday, boosted by US President Donald Trump’s announcement of a pause on tariffs affecting certain consumer electronics.
The decision to exempt items like smartphones and computers from reciprocal tariffs triggered a wave of buying, particularly in chip-related stocks, across the region.
Japan’s stock market indices led the charge, reflecting the sensitivity of the Japanese economy to global trade developments. Markets in South Korea also traded higher, contributing to the overall positive sentiment.
Chip stocks lead the rally in Japan
Japan’s Nikkei 225 Stock Average gained as much as 2.2% to 34,325.59, while the Topix Index advanced as much as 2% to 2,515.53.
Shares of Advantest Corp., Screen Holdings Co., and TDK Corp. were among the Nikkei’s top performers, all rising more than 4%, highlighting the significant impact of the tariff pause on chip-related industries.
Gains in Japan’s market and other Asian stock markets also came on the back of a report by Politico, which stated that Trump is involved in serious trade negotiations with partners strategic to China, including Japan and South Korea, adding another layer of optimism to the market.
South Korea and Hong Kong join the surge
In South Korea, the Kospi index rose 0.89%, while the Kosdaq rallied 1.44%, reflecting positive investor sentiment.
Hong Kong’s The Hang Seng Index (HSI) also traded on a bullish note Monday, surging 449.19 points, or 2.15%, to 21,363.88, witnessing its strongest intraday performance in over two weeks, highlighting the widespread impact of the tariff pause.
Across the Pacific, Australia’s S&P/ASX 200 gained 0.71%, contributing to the overall positive trend in the Asian region.
Meanwhile, several countries in the region are preparing for trade negotiations with the US this week, suggesting a flurry of activity aimed at resolving trade disputes.
According to a Politico report, Trump is engaging in negotiations with countries including Vietnam, India, South Korea, and Japan, and is prioritizing existing trading partners that are strategic to countering China, underlining the geopolitical dimensions of the US trade strategy.
Indian markets closed for holiday
The Indian stock market is closed today, April 14, on account of Dr. Baba Saheb Ambedkar Jayanti 2025.
The trading on BSE and NSE is shut for the whole day as it is a National Holiday.
The trading in equity, equity derivatives and the currency derivatives markets is shut today.
The commodity derivatives segment will open in the evening session at 5 PM. The normal trading in the Indian stock market will resume on April 15, Tuesday.
US futures point higher: a positive outlook
US stock futures rose on Sunday on Trump’s latest tariff moves, further supporting the positive sentiment.
S&P 500 futures gained 0.6%, while Nasdaq-100 futures rose 0.9%, indicating strong investor confidence.
Dow Jones Industrial Average futures added 0.3%, rounding out the generally upbeat outlook for the markets.
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