Asian shares are poised for a third consecutive day of gains, driven by optimism over potential lower U.S. auto tariffs, boosting Japanese carmakers like Toyota, which rose 2%.
Japan’s Topix Index climbed 1%, and a broader Asian equity gauge gained 0.4%. However, Asian chip stocks fell after negative developments, including a 2.2% drop in TSMC shares amid a Taiwanese probe into trade secret theft, and AMD’s warning about uncertain China market access.
Super Micro Computer also slumped post-earnings.
U.S. and European stock futures rose 0.4% and 0.5%, respectively, despite concerns from weak U.S. services data showing stagnation and sticky price pressures, complicating the Federal Reserve’s inflation-growth balance. Oil prices edged up after five days of declines, while Treasuries dipped, with the 10-year yield at 4.22%. The dollar weakened slightly.
Trade tariff developments dominate headlines. Japan’s trade negotiator is in Washington to push for reduced car tariffs, while Trump signalled progress on a China deal but threatened higher tariffs on India and countries buying Russian energy.
India’s central bank held rates steady, adopting a cautious stance amid tariff threats. In Europe, Switzerland’s president is seeking relief from a 39% U.S. tariff, and ECB member Robert Holzmann opposed further rate cuts.
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Bitcoin rose 0.4% to $114,174.56
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Ether rose 1.7% to $3,635.83
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Spot gold fell 0.2% to $3,372.66 an ounce
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Crude rose 0.5%
