Yahoo Finance Asian Stocks Rise Despite Trump’s Comments That U.S. 'Not Ready For a Deal'
Investing.com - Asian equities rose in morning trade on Tuesday as traders mulled U.S. President Donald Trump’s comments that said Washington is not ready to make a trade deal with China.
China’s Shanghai Composite and the Shenzhen Component gained 0.6% and 0.3% respectively by 10:30 PM ET (02:30 GMT). Hong Kong’s Hang Seng Index also rose 0.3%.
Citing people familiar with the matter, Bloomberg reported that e-commerce giant Alibaba Group Holdings Ltd ADR (NYSE:BABA) is considering a potential Hong Kong share offering that could raise $20 billion after its record-breaking 2014 New York IPO.
Japan’s Nikkei 225 rose 0.4%. South Korea’s KOSPI was trading near flat.
Down under, Australia’s ASX 200 climbed 0.6%.
The gain in Asian stocks came even after Trump said the U.S. is “not ready to make a deal” with China.
“I think they probably wish they made the deal that they had on the table before they tried to renegotiate it,” Trump said Monday at a joint press conference in Tokyo. “They would like to make a deal. We’re not ready to make a deal.”
Trump said American tariffs on Chinese goods “could go up very, very substantially, very easily.”
The President added that he thinks the two sides could eventually reach “a great trade deal” sometime in the future.
“Because I don’t believe that China can continue to pay these, really, hundreds of billions of dollars in tariffs. I don’t believe they can do that,” said Trump.
Trump unexpectedly raised tariffs on $200 billion worth of Chinese goods earlier this month.
Guo Shuqing, head of China’s banking and insurance regulator, said higher tariffs will have a “very limited” impact (on China’s economy), and would hurt the U.S. about as much.
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