Asian stocks gain after US, China announce truce on tariffs

FILE - In this Sept. 5, 2019, file photo, an investor adjusts his hat as he monitors stock prices at a brokerage house in Beijing. Asian stock markets have risen after Washington and Beijing announced a truce on tariff hikes in a trade war. Benchmarks in Shanghai, Hong Kong and Seoul advanced. Japanese markets were closed for a holiday. (AP Photo/Mark Schiefelbein, File)

BEIJING — Asian stock markets have risen after Washington and Beijing announced a truce on tariff hikes in a trade war.

Benchmarks in Shanghai, Hong Kong and Seoul advanced. Japanese markets were closed for a holiday.

President Donald Trump agreed Friday to put off planned tariff hikes this week on Chinese goods in a fight over Beijing's trade surplus and technology plans. In exchange, he said China would buy American farm goods. But the two sides reported no progress on basic disputes that sparked the 15-month-old fight that threatens global economic growth.

Friday's truce "has simply temporarily halted the escalation in China-U.S. trade tensions," said Philip Wee and Eugene Leow of DBS Group in a report.

"Longer-term concerns remain that the trade war may widen from tariffs towards impeding investment flows," they said. The truce "could also see the Trump administration turning its tariff war towards the Eurozone."

The Shanghai Composite Index rose 1.1% to 3,006.64 and Hong Kong's Hang Seng advanced 0.9% to 26,535.44. Seoul's Kospi added 1.2% to 2,068.06.

Sydney's S&P-ASX 200 gained 0.5% to 6,642.60. Benchmarks in Taiwan, New Zealand and Southeast Asia also advanced.

Also Monday, China reported exports to the United States fell 17.8% in September from a year earlier to $36.5 billion. Imports of American goods sank 20.6% to $10.6 billion.

China's global exports fell 1.4% to $218.1 billion. Imports fell 5.8% to $178.5 billion.

On Wall Street, the benchmark Standard & Poor's 500 Index ended Friday with its first weekly gain in four weeks.

The S&P 500 added 1.1%, to 2,970.27. Earlier it had been up 1.9%. The Dow Jones Industrial Average rose 1.2% to 26,816.59 and the Nasdaq gained 1.3% to 8,057.04.

ENERGY: Benchmark U.S. crude lost 29 cents to $54.41 per barrel in electronic trading on the New York Mercantile Exchange. The contract gained $1.15 on Friday to close at $54.70. Brent crude, used to price international oils, declined 32 cents to $60.19 per barrel in London. It advanced $1.41 the previous session to $60.51.

CURRENCY: The dollar declined to 108.34 yen from Friday's 108.38 yen. The euro slipped to $1.1030 from $1.1036.

People also read these

Asia shares falter as investors watch dollar, await job data

Jan 6, 2017

Asian shares are wavering as a weaker dollar discourages investors who are shying away from risky...

China exports shrink as Trump trade tensions loom

Jan 13, 2017

China's exports fell back into contraction again last month, signaling renewed weakness for the...

China's growth edges up but 2016 weakest year since 1990

Jan 20, 2017

China reports its economy picked up pace in the last quarter, though its full-year performance was...

What Trump's trade and geopolitical moves mean for China

Jan 24, 2017

With his rejection of an Asian trade pact, U.S. President Donald Trump has started tackling policy...

Asian shares rise in thin trade as markets watch Trump

Jan 27, 2017

Asian stocks are drifting mostly higher in quiet trading as traders and investors prepared for the...

AseanCoverage is a next-gen news site focusing exclusively on online news from South East Asia.

Contact us: sales[at]aseancoverage.com