Early sun rising over the Taj Mahal, India
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Asia-Pacific markets are poised to mostly climb Tuesday, following a massive rally on Wall Street after the U.S. and China announced a trade deal, including a 90-day pause on tariffs and a drop in reciprocal tariffs by 115 percentage points.
Australia’s S&P/ASX 200 is set to rise at the open, with futures tied to the benchmark at 8,364, compared to its Monday close of 8,233.50.
Japan’s benchmark Nikkei 225 was set to open higher, with the futures contract in Chicago at 38,745 while its counterpart in Osaka last traded at 38,730, against the index’s last close of 37,644.26
Futures for Hong Kong’s Hang Seng index stood at 23,403, pointing to a weaker open compared to the HSI’s last close of 23,549.46.
U.S. stock futures were flat after all three key benchmarks hit their best day since April 9, as investors awaited the release of an inflation report.
Overnight stateside, stocks soared as investors’ fears of a recession in the U.S., sparked by a trade war with China, were abated after the two superpowers arrived at a deal.
The Dow Jones Industrial Average surged 1,160.72 points, or 2.81%, and closed at 42,410.10. The 30-stock index ended the session near its highs of the day, with buying enthusiasm remaining strong.
Meanwhile, the broad-based S&P 500 popped 3.26% to end at 5,844.19, giving it gains of over 20% since its April intraday low at the height of tariff pessimism. The benchmark’s year-to-date losses have now narrowed to just 0.6%.
The Nasdaq Composite added 4.35% and settled at 18,708.34, as the details of the trade deal sent technology stocks with exposure to China — like Tesla and Apple — higher.
— CNBC’s Brian Evans, Yun Li and Fred Imbert contributed to this report.
