Asian Markets Mostly Positive, Except India, Amid Trump’s Trade Signals

Asian markets are mostly trading in positive territory, with the exception of India, following U.S. President Donald Trump’s signals that trade negotiations could remain open. Trump’s announcement of new tariffs on several countries, including Japan and South Korea, initially dampened risk appetite, but his indication that tariff rates could be adjusted based on bilateral relations has provided some relief to markets.

Trump announced that starting August 1, Japan and South Korea will face a 25% tariff on all products exported to the U.S., in addition to existing sectoral tariffs. He also warned that goods rerouted through other countries to avoid higher tariffs would face even steeper charges.

Trump also issued tariff letters to other countries in the region, including:

• Malaysia: 25%
• Indonesia: 32%
• Bangladesh: 35%
• Cambodia and Thailand: 36%
• Laos and Myanmar: 40%

However, Trump signed an executive order extending the tariff deferral period to August 1, which has helped ease some concerns.

In addition, Japan’s willingness to continue trade talks with the U.S. has supported market sentiment. Meanwhile, the Reserve Bank of Australia kept its policy rate unchanged at 3.85%, while the Bank of Japan (BoJ) is expected to delay rate hikes due to uncertainties surrounding its policies and the impact of the new U.S. tariffs.

Market Performance:

• Japan: The Nikkei 225 index rose 0.36% to close at 39,728.5 points.
• South Korea: The Kospi index gained 1.81% to close at 3,114.95 points.
• China: The Shanghai Composite index is up 0.7% at 3,497 points.
• Hong Kong: The Hang Seng index is up 0.8% at 24,084 points.
• India: The Sensex index is down 0.03% at 83,418 points.

Asian markets, except India, are trading positively as U.S. President Donald Trump signals flexibility in trade negotiations. Trump’s new tariffs on Japan and South Korea initially weighed on sentiment, but his openness to adjusting rates based on bilateral relations has provided some relief.