Markets in Asia-Pacific were Mixed Following a Week of Tense Trading

Asia-Pacific markets were mixed on Monday following a week of tumultuous global trade. Given the uncertainty surrounding U.S. President Donald Trump’s tariff plans and their influence on the superpower’s growth and inflation, U.S. equities have been on a roller coaster since the beginning of the month. On Monday, they are projected to open lower.

Ahead of this Wednesday’s implementation of 25% U.S. tariffs on steel and aluminum imports, investors were paying close attention to the stocks of steel producers. Asia’s advances were driven by Japan’s benchmark Nikkei 225, which rose 0.38% in volatile trading to close the day at 37,028. The broader Topix index, on the other hand, pared previous advances as it dropped 0.29% to settle at 2,700. In January, the nation’s cash profits increased 2.8% yearly, less than the revised 4.4% increase in December.

The small-cap Kosdaq dropped 0.26% to 725, while South Korea’s Kospi gained 0.27% to close the day at 2,570. Mainland China’s CSI 300 fell 0.36% in the last hour of trading, while Hong Kong’s Hang Seng Index fell 1.8%.

Due to deflationary pressures and seasonal distortions, China’s consumer inflation fell below zero over the weekend for the first time in 13 months. As per the statistics from the National Bureau of Statistics, the consumer price index fell 0.7% in February compared to the same month last year after increasing by 0.5%.

After Ottawa imposed import taxes on Chinese-made electric cars, steel, and aluminum items last year, the Asian behemoth announced retaliatory levies on a few Canadian agricultural products on Saturday. Beijing said that Canadian rapeseed oil, oil cakes, and peas would be subject to a 100% tax, while Canadian-sourced pork and aquatic goods would be subject to a 25% charge.

The BSE Sensex increased by 0.23% in India, while the benchmark Nifty 50 was up 0.16%. Following a tumultuous trading day, the three main averages in the United States ended the day higher on Friday. The barrage of trade policy initiatives spooked investors, and although the S&P 500 reclaimed some ground on Friday, the index nevertheless had its worst week in many months. The Nasdaq Composite increased 0.7% to 18,196.22, while the broad index increased 0.55% to 5,770.20. To close at 42,801.72, the Dow Jones Industrial Average gained 222.64 points, or 0.52%.