US President Donald Trump’s sweeping tariffs on Canada, Mexico, and China sent shockwaves through Asia-Pacific markets on Monday, with several major indices falling sharply.
Australia’s S&P/ASX 200 plummeted 1.79%, while Japan’s Nikkei 225 fell 2.66%. South Korea’s Kospi dropped 2.52% and Hong Kong’s Hang Seng Index lost 0.3%.
India’s Nifty 50 slid 0.56% as investors digested the government’s new Union Budget, which offers a significant income tax relief to the middle class.
The US dollar index rose nearly 1%, while gold ticked 0.3% higher in early trading, suggesting traders are seeking safety ahead of the tariffs’ impact.
Oil prices surged after the US slapped tariffs on goods from China, Canada, and Mexico, with West Texas Intermediate futures rising 2%.
Bitcoin fell below $100,000, losing 3.6%, as investors turned cautious amid the trade tensions. Other cryptocurrencies also tumbled in the risk-off move.
The global market sentiment is now focused on how these tariffs will affect global economic growth and trade relationships.
Source: https://www.cnbc.com/2025/02/03/asia-markets-live-china-caixin-pmi-south-korea-retail-sales.html