Singapore Markets close in 2 hrs 10 mins

Asian Equities Turn Positive as Trade Worries Ease

Asian equities turned positive in afternoon trade on Monday - Asian equities turned positive in afternoon trade on Monday as investors looked past the trade worries that fueled Friday’s declines on Wall Street.

Reports that the U.S. confirmed North Korea’s Kim Jong Un is willing to talk to President Donald Trump about denuclearization when they meet later this year were cited as a catalyst for the buying in equities.

While the discussions are still at a preliminary stage, the U.S. and North Korea’s intelligence officials have been holding talks more than once in a third country to prepare for the upcoming summit, according to reports.

Meanwhile, U.S. president Trump said on Sunday that China would take down its trade barriers because it was "the right thing to do."

The comment followed a proposed $100 billion in tariffs on Chinese imports last Thursday, while Beijing said it was fully prepared to respond with a "fierce counter strike".

China’s President Xi Jinping is expected to address the country’s responses to U.S.’s tariffs at the Boao Forum this week.

A report by the country’s official mouthpiece raised some eye brows as it said the U.S. suffers from an "anxiety disorder" and its recent trade policies have significantly impacted the global economy.

"In the world's perception, the U.S. is overshadowed by an anxiety disorder and is very keen to show its anxiety," the People's Daily said in a commentary.

The Shanghai Composite was up 0.4% lower by 1:20AM ET (05:20 GMT), while the Shenzhen Component gained 0.2%.

Hong Kong’s Hang Seng Index gained 1.7%. United Company Rusal Plc (HK:0486)’s share fell 31% after the Russian aluminum giant was included in a new U.S. sanctions list.

In Japan, the Nikkei 225 traded 0.8% higher. The country’s current account surplus widened to $19.6b in Feb, below market’s forecast.

Elsewhere, China has halted the export to North Korea of some items with potential dual use in weapons of mass destruction, according to a statement released by the Chinese Ministry of Commerce. The KOSPI was up 0.6% in morning trade.

Related Articles

Stocks on edge, oil soars on escalating Middle East tensions

South Korea to complete due diligence on GM Korea by early May

JP Morgan's Dimon says U.S. economy still looks 'pretty good'