Earth Science News
TRADE WARS
Asian markets mixed after latest Trump tariff threat
Asian markets mixed after latest Trump tariff threat
by AFP Staff Writers
Hong Kong (AFP) Feb 27, 2025

Asian markets fluctuated Thursday as investors tried to assess US President Donald Trump's latest tariffs salvo, while earnings from chip titan Nvidia failed to impress, despite another record performance.

Hong Kong was again the region's standout performer as the Hang Seng Index chalked up a 20 percent year-to-date gain -- pushing it above 24,000 points for the first time since 2022 -- thanks to another outstanding performance by Chinese tech giants.

However, traders soon took their cash off the table and left the HSI swinging in and out of positive territory, similar to scenes elsewhere in Asia.

The uneven start to the day came after Trump warned he would hit the European Union with 25 percent tariffs.

However, he caused some confusion over the timing and extent of other measures announced against Canada and Mexico, with analysts saying there was still some debate on whether he will delay implementation or water down his plans.

The threat against Brussels comes after the US president went back on the offensive over trade and signed a memo at the weekend calling for curbs on Chinese investments in industries including technology and critical infrastructure, healthcare and energy.

Still, economists at Schroders said they were optimistic that the White House's economic policies will be milder than Trump had espoused when running for president.

"Our 'Aggressive Trump' scenario, that assumes high trade tariffs and large deportations, would be stagflationary for the US economy and probably tip the rest of the world into recession," they said in a note.

"But upside risks are also emerging. DeepSeek could speed up the adoption of AI, macroeconomic reform has come back onto the agenda for governments desperate to find growth and bank lending shows signs of life," they added, referring to the Chinese startup that upended the AI universe with its chatbot last month.

"Steep falls in oil prices could also conceivably relieve inflation pressures later in 2025."

Asia started the day on a mixed note.

Hong Kong retreated as investors took a breather following a thundering start to the year, while there were also losses in Shanghai, Singapore, Seoul, Taipei and Jakarta.

Tokyo rose, though 7-Eleven owner Seven & i tumbled as much as 12 percent after the convenience store giant said its founding family failed to put together a white-knight buyout.

The firm last year rejected an offer worth nearly $40 billion from Canadian rival Alimentation Couche-Tard (ACT) which would have been the biggest foreign buyout of a Japanese firm.

Sydney, Wellington and Manila also rose.

There was little spark from Nvidia's earnings, despite the firm reporting a record $39.3 billion in revenue in the fourth quarter and CEO Jensen Huang touting "amazing" interest in its latest Blackwell chip technology.

Traders are gearing up for a key meeting of Chinese leaders next week, when they are expected to hammer out their annual economic plan amid expectations they will again target five percent growth this year, the same as 2024.

"Policymakers tend to attach high importance to accomplishing this goal, and since targets were started in 1990, growth has only fallen notably short of target twice, in 1990 and 2022," said Lynn Song, chief China economist at ING.

"The strength of fiscal and monetary support tends to align with the year's growth target, so a stronger target implies we will also see stronger stimulus measures and vice versa."

- Key figures around 0300 GMT -

Tokyo - Nikkei 225: UP 0.2 percent at 38,198.96 (break)

Hong Kong - Hang Seng Index: DOWN 0.4 percent at 23,696.70

Shanghai - Composite: DOWN 0.4 percent at 3,365.45

Euro/dollar: DOWN at $1.0471 from $1.0480 on Tuesday

Pound/dollar: DOWN at $1.2661 from $1.2672

Dollar/yen: UP at 149.25 from 149.13 yen

Euro/pound: UP at 82.71 pence from 82.70 pence

West Texas Intermediate: DOWN 0.3 percent at $68.82 per barrel

Brent North Sea Crude: DOWN 0.3 percent at $72.77 per barrel

New York - Dow: DOWN 0.4 percent at 43,433.12 (close)

London - FTSE 100: UP 0.7 percent at 8,731.46 (close)

dan/lb

Nvidia

INDEX CORP.

SCHRODERS

ING Groep

Dow

Related Links
Global Trade News

Subscribe Free To Our Daily Newsletters
Tweet

RELATED CONTENT
The following news reports may link to other Space Media Network websites.
TRADE WARS
China's Xi urges 'calm' response to challenges ahead of key meeting
Beijing (AFP) Feb 26, 2025
Chinese President Xi Jinping told top officials on Wednesday that Beijing should address domestic and international difficulties "calmly", one week before the country's biggest annual political gathering. The world's second largest economy is facing down sluggish internal demand and a protracted property sector crisis, as well as the possibility of a deepening trade war with the United States after President Donald Trump took office. Xi's comments were in response to a 2024 work report submitted ... read more

TRADE WARS
Anger as German conservatives question NGO funding

Pentagon chief visits Guantanamo as US pushes to deport migrants

Two jailed for 18 years over tower block collapse in Turkey quake

UN watchdog chief visits Fukushima as Japan returns to nuclear power

TRADE WARS
China to build longest bridge in Central Asia

Indonesian nickel producer to build $1.8 bn plant

Ukraine, US agree to terms of minerals, reconstruction deal

ClearSpace Initiates GEO Mission for Satellite Renewal

TRADE WARS
Harnessing Fog for Water Supply in the World's Driest Regions

Nauru sells citizenship to fund climate change mitigation

Vanuatu climate minister frets over US climate reversal

Cook Islands PM beats no-confidence vote, slams New Zealand

TRADE WARS
Study reveals how Earth's orbit controls ice ages

Giant ice sheets shaped Earth's evolution by altering ocean chemistry

'All eyes on Arctic': Canada boosts its northern force

'All eyes on Arctic': Canada boosts its northern force

TRADE WARS
Cognac on the rocks: industry seeks French govt help from Chinese tariffs

EU eyes stricter food import rules in agriculture policy review

Bordeaux wine harvest drops to lowest level since 1991

Pesticides causing widespread harm to animals and plants: study

TRADE WARS
Court overturns New Zealand White Island eruption conviction

La Reunion residents ordered indoors as 'purple alert' cyclone nears

How did this man's brain turn to glass? Scientists have a theory

Indonesia residents run outside as shallow quake hits

TRADE WARS
UN requests $2.5 billion for DRC humanitarian plan

S.Africa repatriates more than 120 soldiers from DR Congo

In Somalia, 4.4 million people risk hunger by June: report

Wounded South African soldiers return home from DR Congo

TRADE WARS
Pentagon orders removal of pro-diversity online content

The quest to extend human life is both fascinating and fraught with moral peril

New play takes on OpenAI drama and AI's existential questions

Trump signs order to get 'transgender ideology' out of military

Subscribe Free To Our Daily Newsletters




The content herein, unless otherwise known to be public domain, are Copyright 1995-2024 - Space Media Network. All websites are published in Australia and are solely subject to Australian law and governed by Fair Use principals for news reporting and research purposes. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA news reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. All articles labeled "by Staff Writers" include reports supplied to Space Media Network by industry news wires, PR agencies, corporate press officers and the like. Such articles are individually curated and edited by Space Media Network staff on the basis of the report's information value to our industry and professional readership. Advertising does not imply endorsement, agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. General Data Protection Regulation (GDPR) Statement Our advertisers use various cookies and the like to deliver the best ad banner available at one time. All network advertising suppliers have GDPR policies (Legitimate Interest) that conform with EU regulations for data collection. By using our websites you consent to cookie based advertising. If you do not agree with this then you must stop using the websites from May 25, 2018. Privacy Statement. Additional information can be found here at About Us.