Asian stocks rise on signs of easing US-China trade tensions

Asian stocks rose sharply on Monday as dovish comments from US President Donald Trump eased concerns about trade tensions with China, while Tokyo markets surged to a new record on news of a political deal in Japan.

Stock index board in Jakarta, Indonesia. Photo: THX/TTXVN

Investor sentiment also improved after data showed China's economy grew 4.8% in the third quarter of 2025.

Earlier in the session, the MSCI Asia Pacific Index (excluding Japan) rose 1.3%. In Tokyo, the Nikkei 225 index rose nearly 3% in the morning session on October 20, adding 1,300 points to 48,970.40 points - a historic high in a single session, after the ruling coalition reached an agreement to pave the way for Ms. Sanae Takaichi to become Prime Minister of Japan.

In South Korea, the KOSPI index reversed to gain 1.03% to 3,789.57 points at 11:20 a.m. (local time), thanks to expectations that global trade tensions will cool down after the market's strong rally last week.

In China, the Hong Kong and Shanghai stock markets also rose after China announced its third-quarter 2025 growth figures. The Hang Seng Index rose 2.2% to 25,797.98 points, while the Shanghai Composite Index rose 0.6% to 3,860.79 points. Wellington, Taipei and Manila markets also rose.

Last week, market sentiment was negatively impacted when US-China trade tensions flared up again, after Mr. Trump threatened to impose 100% tariffs on Chinese goods in response to the country’s tightening control over rare earth exports. This led to a series of “tit-for-tat” measures and called into question plans to meet President Xi Jinping on the sidelines of the Asia- Pacific Economic Cooperation (APEC) Summit.

However, the atmosphere eased over the weekend, with both sides agreeing to resume trade talks. Xinhua said Vice Premier He Lifeng and US Treasury Secretary Scott Bessent had “frank, in-depth and constructive” talks, and agreed to hold a new round of talks “as soon as possible.”

Hours earlier, Fox News aired an interview excerpt in which President Trump confirmed he would still meet Xi Jinping at the APEC summit and admitted that the 100% tariff was “unsustainable.”

In the domestic market, at the end of the morning session on October 20, the VN-Index decreased by 20.52 points (1.19%) to 1,710.67 points. The HNX-Index increased by 0.98 points (0.35%) to 277.09 points.

Source: https://baotintuc.vn/thi-truong-tien-te/chung-khoan-chau-a-tang-diem-nho-tin-hieu-ha-nhiet-cang-thang-thuong-mai-mytrung-20251020115433495.htm