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ToggleAsian Markets Kick Off with Strong Performance, Shaking Off Tariff Panic
On April 8, Asian-Pacific stock markets rebounded comprehensively, shaking off the panic selling triggered by US President Trump's threats to impose more tariffs on China. Despite ongoing US-China trade tensions, the market seems to hold a glimmer of hope for potential negotiation space, with major stock markets turning positive.
Nikkei and Topix Lead, Northeast Asian Stock Markets Show Strong Counterattack
The Japanese stock market performed most impressively today. The Nikkei 225 index surged 5.34%, while the Tokyo Stock Price Index (Topix) soared 5.53%, indicating investors are massively repurchasing stocks that plummeted in the previous trading day.
The South Korean market was equally robust, with the Kospi index rising 2.26% and the Kosdaq index, primarily composed of small and medium-sized stocks, increasing by 2.35%, demonstrating a significant market sentiment recovery.
Hong Kong Stocks Rebound, Tech Stocks Surge Over 4%
The Hong Kong stock market experienced a retaliatory rebound on Tuesday. The Hang Seng Index rose 2.25%, while the Hang Seng Tech Index surged 4.17%. This was undoubtedly a lifeline for the Hong Kong stock market, as the Hang Seng Index had plummeted over 13% on Monday, marking its largest single-day drop since 1997.
Australia and China Show Moderate Performance, A-Shares Slightly Higher
In comparison, other Asia-Pacific markets performed relatively moderately. The Australian S&P/ASX 200 index opened up 0.18%, while China's CSI 300 index only slightly increased by 0.24%.
Despite the modest A-shares gains, this indicates that market sentiment is gradually stabilizing after the previous day's intense volatility.
Trump Warns: Will Impose 50% Tariffs if China Does Not Compromise
Amidst the market rebound, discordant notes persist. US President Trump again threatened on Monday that if China does not cancel retaliatory tariffs on US goods, the US will consider imposing an additional 50% tariff. These remarks reignited market concerns about potential trade war escalation.
Moreover, the Trump administration began implementing a 10% unilateral tariff measure last Saturday and is expected to launch a larger-scale "reciprocal tariff" on April 9, with global investors closely monitoring developments.
Experts: Market Still Uncertain, Confidence Fragile Awaiting Policy Clarity
Murthy Grandhi, an analyst at market research company GlobalData, stated: "Asian stocks experienced the most severe sell-off in recent years, with panic and uncertainty driving indices to multi-year lows."
He further pointed out that the escalation of the trade war has further undermined the already fragile investor confidence, and what the market needs most now is "policy clarity and diplomatic communication progress" to truly stabilize.
US Stock Market Futures Rise, Investors Bet on Stabilization Opportunity
Influenced by the strong rebound in Asian markets, US stock futures also rose. As of now:
S&P 500 Futures Rise by About 1%
Nasdaq 100 Futures Rise by 1.1%
Dow Jones Industrial Futures Surge 476 Points, Rising 1.2%
Nevertheless, US stocks closed lower on Monday, with the Dow Jones Industrial Index dropping 0.91% to 37,965.60 points, the S&P 500 falling 0.23% to close at 5,062.25 points, while only the Nasdaq Index saw a slight increase of 0.10%, closing at 15,603.26 points.
Rebound Not a Trend Shift, Key Lies in Policy Implementation
Although the strong rebound in Asian stocks today provides some relief, most analysts believe this rebound is more of a "technical correction" and short covering. If the tariff deadlock between the US and China does not truly ease, the stock market may still struggle to break free from its volatile pattern.
Investors still need to cautiously observe policy signals in the coming days, especially whether the next wave of tariffs will be implemented as scheduled on April 9, which will determine whether this rebound is just a flash in the pan or the beginning of a true market stabilization.
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